European Commission opens in-depth investigation into acquisition of oilfield service provider Baker Hughes by Halliburton

BRUSSELS. KAZINFORM The European Commission has opened an in-depth investigation to assess whether the proposed acquisition of oilfield service supplier Baker Hughes by rival Halliburton would impede effective competition in breach of the EU Merger Regulation.

"The Commission's preliminary investigation indicated serious potential competition concerns in more than 30 product and service lines, both offshore and onshore. In particular, the investigation revealed that Halliburton and Baker Hughes seem to be close competitors, both in terms of tenders and in innovation.
According to Commissioner Margrethe Vestager, Commission has to look closely at this proposed takeover to make sure that it would not reduce choice or push up prices for oil and gas exploration and production services in the EU.

The takeover would bring together the world's second and third largest oilfield service suppliers, thus eliminating one of the three current main global competitors (i.e. Halliburton, Baker Hughes and market leader Schlumberger). The opening of an in-depth inquiry does not prejudge the final result of the investigation. The Commission now has 90 working days, until 26 May 2016, to take a final decision.
See more at https://europa.eu/rapid/press-release_IP-16-48_en.htm