Baker Hughes Inc. (BHI) and BJ Services Co. (BJS) announced the receipt of a request from the Antitrust Division of the Department of Justice for additional information, or commonly known as a second request, with respect to Baker Hughes' proposed merger with BJ Services Company. Both companies intend to comply with the request promptly.
In August, Baker Hughes and BJ Services announced a definitive merger agreement by which Baker Hughes would acquire BJ Services. The deal is worth $5.5 billion based on closing stock prices of BJ Services on August 28.
Under the agreement, BJ Services stockholders will receive 0.40035 shares of Baker Hughes and cash of $2.69 in exchange for each share of BJ Services common stock. The agreement represents a premium of 16.3% to BJ Services stockholders over the company's closing stock price on August 28. Upon closing, and reflecting the issuance of new Baker Hughes shares, BJ Services stockholders collectively will own about 27.5% of Baker Hughes' outstanding shares.
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