Schlumberger Ltd, the world’s notable oilfield services company, said it will acquire oilfield equipment maker Cameron International Corp, in a deal valued at $14.8 billion.
Schlumberger’s Chief Executive Officer, Paal Kibsgaard, said in a statement on Wednesday that the deal valued Cameron at $12.74 billion, based on the company’s outstanding shares as of June 30.
“We believe that the next industry technical breakthrough will be achieved through integration of Schlumberger’s reservoir and well technologies, with Cameron’s leadership in surface drilling, processing and flow control technologies,” Kibsgaard said .
The two companies had combined their sub-sea businesses in November 2012 to create one Sub-sea joint venture.
Schlumberger’s rivals, Halliburton Co (HAL.N) and Baker Hughes Inc (BHI.N) are yet to get all required regulatory approvals for their merger, which was announced in November.
The merger will create a company with higher revenue than Schlumberger.
Schlumberger said it expected the Cameron acquisition to add to earnings by the end of the first year after closing.
The deal is expected to close in first quarter of 2016.