Baker Hughes Prices $6.5 Billion and €3 Billion Multi-Tranche Senior Notes to Support Chart Industries Acquisition
Energy technology company Baker Hughes Company has successfully priced a major multi-currency debt offering totaling $6.5 billion in U.S. dollar-denominated senior notes and €3 billion in euro-denominated senior notes, marking one of the company’s largest recent financing initiatives. The proceeds from these offerings are expected to support the company’s planned acquisition of Chart Industries, Inc., a global manufacturer of highly engineered equipment used across the energy and industrial gas sectors.
The combined $9.7 billion equivalent financing package reflects Baker Hughes’ strategy to strengthen its financial position ahead of the proposed acquisition while maintaining flexibility across multiple maturities and currencies. The offerings consist of nine tranches of senior unsecured notes issued across different tenors ranging from 2029 to 2056, enabling the company to access a broad pool of global investors while optimizing long-term capital structure.
Structure of the U.S. Dollar Notes
The U.S. dollar-denominated portion of the offering totals $6.5 billion and includes five tranches of senior unsecured notes with varying maturities and coupon rates.
The company priced $500 million of 4.050% Senior Notes due 2029, representing the shortest maturity in the dollar offering. These notes are designed to attract investors seeking relatively shorter-term exposure to investment-grade corporate debt.
A second tranche includes $1.25 billion of 4.350% Senior Notes due 2031, followed by $750 million of 4.650% Senior Notes due 2033, both aimed at medium-term investors looking for balanced yield and duration.
The offering also includes longer-term securities such as $2 billion of 5.000% Senior Notes due 2036 and $2 billion of 5.850% Senior Notes due 2056, the latter representing the longest maturity in the dollar-denominated issuance. The extended maturity profile allows Baker Hughes to lock in financing over several decades while diversifying its debt repayment schedule.
Structure of the Euro Notes
In addition to the U.S. dollar financing, Baker Hughes priced €3 billion in euro-denominated senior notes, further expanding its presence in European capital markets and diversifying its investor base.
The euro offering includes €600 million of 3.226% Senior Notes due 2030, providing investors with a relatively short-to-mid-term maturity option.
Another tranche features €900 million of 3.812% Senior Notes due 2034, which serves as the largest portion of the euro offering. This tranche is followed by €750 million of 4.193% Senior Notes due 2038.
Completing the euro issuance is €750 million of 4.737% Senior Notes due 2046, which provides longer-dated exposure for institutional investors seeking extended duration in euro-denominated corporate bonds.
Together, the euro and dollar tranches create a diversified maturity ladder that extends from three to thirty years, positioning Baker Hughes to manage its long-term funding needs effectively.
Issuance Structure and Guarantees
The notes will be issued through Baker Hughes’ financing subsidiaries Baker Hughes Holdings LLC and Baker Hughes Holdings Co-Obligor, Inc. Both entities are wholly owned subsidiaries of Baker Hughes and will act as the formal issuers of the securities.
Importantly, the debt securities will be fully and unconditionally guaranteed by Baker Hughes on a senior unsecured basis. This guarantee ensures that investors benefit from the credit strength of the parent company while maintaining the structural flexibility provided by subsidiary issuers.
Because the notes are unsecured, they rank equally with other senior unsecured debt obligations of the company. However, the parent company guarantee adds an additional layer of security for investors, reinforcing confidence in the offering.
Funding the Chart Industries Acquisition
The primary purpose of the financing is to fund a portion of the cash consideration required for Baker Hughes’ planned acquisition of Chart Industries, a strategic move designed to expand Baker Hughes’ capabilities across key energy and industrial technology segments.
Chart Industries specializes in cryogenic equipment and process technologies used in applications such as liquefied natural gas (LNG), hydrogen, carbon capture, and industrial gas processing. By acquiring Chart, Baker Hughes aims to enhance its portfolio of solutions in energy transition technologies, including hydrogen, carbon management, and advanced industrial infrastructure.
The acquisition aligns with Baker Hughes’ broader strategy to strengthen its presence in sectors that support lower-carbon energy systems and advanced industrial applications.
Special Mandatory Redemption Provision
The notes include a special mandatory redemption clause tied directly to the completion of the Chart Industries acquisition.
Under this provision, if the acquisition is not completed within a specified timeframe or certain conditions are not met, Baker Hughes will be required to redeem the notes. In such circumstances, the redemption price will equal 101% of the aggregate principal amount of the affected series of notes, plus any accrued and unpaid interest.
This safeguard provides protection for investors by ensuring that the debt financing remains directly connected to the intended acquisition transaction.
Expected Closing Date
The debt offerings are expected to close on March 11, 2026, subject to customary closing conditions typically associated with large-scale capital market transactions.
Once completed, the financing will significantly strengthen Baker Hughes’ liquidity position as it prepares to execute the acquisition and pursue long-term growth initiatives.
Global Banking Consortium
The transaction involves a large international group of financial institutions serving in various underwriting and advisory roles.
For the U.S. dollar-denominated offering, Goldman Sachs & Co. LLC and Morgan Stanley & Co. LLC are acting as joint global coordinators and joint book-running managers. Additional joint book-running managers include Citigroup Global Markets Inc., Deutsche Bank Securities Inc., and J.P. Morgan Securities LLC.
Several additional institutions are participating as passive book-running managers, senior co-managers, and co-managers, reflecting the global scale and complexity of the financing transaction.
For the euro-denominated offering, Goldman Sachs & Co. LLC and Morgan Stanley & Co. International plc are serving as joint global coordinators and joint book-running managers, while Citigroup Global Markets Limited, Deutsche Bank AG (London Branch), and J.P. Morgan Securities plc are acting as joint book-running managers.
A number of additional European and international banks are supporting the transaction as passive book-running managers and co-managers.
The involvement of this broad syndicate highlights the significant investor demand expected for the offering and underscores Baker Hughes’ ability to access global debt markets efficiently.
Regulatory Filing and Investor Information
The notes are being offered pursuant to an effective shelf registration statement previously filed with the U.S. Securities and Exchange Commission.
Investors considering participation in the offerings are advised to review the related prospectus, preliminary prospectus supplements, and other filings submitted to the SEC for detailed information about Baker Hughes, the terms of the securities, and the risks associated with the investment.
Copies of the relevant prospectus materials can be obtained from the lead underwriting banks participating in the transaction.
Strategic Implications for Baker Hughes
The successful pricing of nearly $10 billion in combined debt financing demonstrates strong market confidence in Baker Hughes’ strategy and financial stability. The multi-currency structure not only broadens the company’s investor base but also provides flexibility in managing global operations and capital needs.
If the Chart Industries acquisition proceeds as planned, the transaction could significantly expand Baker Hughes’ technological capabilities in areas such as LNG infrastructure, hydrogen solutions, and carbon capture technologies—all of which are expected to play major roles in the evolving global energy landscape.
With this financing milestone completed, Baker Hughes is positioning itself to move forward with a transformative acquisition that could strengthen its long-term role in both traditional energy markets and emerging energy transition technologies.
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