Baker Hughes continued its divestment of non-core assets with the announcement Monday (June 9) of the sale of its manufacturing subsidiary, Precision Sensors & Instrumentation, to the Crane Company for $1.15 billion.
The price tag includes an anticipated $90 million tax benefit.
Just last week, the Houston-based company announced the contribution of its surface pressure control business to a joint venture to be operated by Cactus Inc. — a $530 million venture in which Baker Hughes will retain only 35 percent.
With the acquisition of PSI, Crane receives sensor technologies for a variety of aerospace, nuclear and other process-based industries, including three important manufacturing brands: Druck (hydraulic and controls), Reuter-Stokes (nuclear sensing devices) and Parametrics (ultra sonic flow meters and precision moisture analyzers for LNG transportation, chemical production and cryonics).
“The bottom line is that PSI is a global leader in highly sophisticated sensor-based technologies for mission critical applications in harsh and hazardous environments,” said Max Mitchell, chairman and CEO of Crane, which is headquartered in Stamford, Connecticut.
“These businesses are a perfect fit with Crane’s existing portfolio, enhancing our product portfolio and technology capabilities in key target markets including aerospace & defense, nuclear, industrial process sensing, and water and wastewater.”
Crane was advised by K&L Gates. Baker McKenzie counseled Baker Hughes.
The Baker McKenzie team included partners Tanner Bodine (Dallas), John Quattrocchi (Dallas) and Jannan Crozier (London).