UPDATE: Halliburton (HAL) Says No Longer Planning to Sell Liner Hangers Business
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Hal's LH business is towards a niche market - Deepwater which is no way overlapping with Baker's LH. So why do we need to divest it? Those buying apples will continue to buy and likewise for oranges. Those making OJ won't stop suddenly to make apple pies, will they?
Nope... so what... and wrong... GE will not buy the castoffs. They will get in the game but are only interested in building their technology from the ground up.
GE themselves have said they will be the only fullstream energy company covering upstream midstream and downstream.
The fact they have already signed a joint venture with paradigm shows they are serious.
Liner hangers are not really important in the scheme of things. It's all low tech stuff which is highly commoditized. The stuff you can't get your hands on easily and is necessary to build a full lifecycle company is the mud, G&G and drilling stuff. Everything else is just a bit of simple mech eng work that can be subcontracted to anybody.
GE Oil and Gas is not a viable service company nor ever will be. GE thought they could magically enter a business they knew nothing about and make a splash just by their "iconic" name. It doesn't matter what they "buy", it won't establish them as a big player in the petroleum business. No more great service companies are going to rise up out of the ashes, anywhere. It's Halliburton, Baker Hughes, and Schlumberger, and that's pretty much it. There may soon only be two big service companies if HAL/BHI merger goes through.
Keep dreaming GE is not interested in being in the service industry. Also not hiring Hal's rejects.
GE is ready to pick up all those assets at bargain prices and come out a strong number 3. Let's hope they also pick up the right talent that was laid off by HAL, BHI, SLB, etc. to build a top notch organization.
All it means is that the liner hangers slide was left out of the Powerpoint presentation. Just a matter of putting it back in.
This is apparently true and is posted on the street insider website. It may mean only that Hal did not receive an adequate offer for the business. It will certainly mean other divisions or assets will be in the new offer that weren't there previously. It seems unlikely the merger is being abandoned.
Bull. Not true. False. Remedies for EU filling will involve more assets, not less. If you know something like this, it likely marks the beginning of HAL backing out of M&A.