News wire — Houston-based private equity fund Pelican Energy Partners LP said on Thursday it plans to buy Baker Hughes Co’s surface pressure control (SPC) flow business.
The sale comes as Baker Hughes and other oilfield services companies have been selling units in the face of lower drilling activity.
Schlumberger NV unloaded its underperforming North American shale fracking business last week to rival Liberty Oilfield Services Inc.
The SPC flow division, part of Baker Hughes’ oilfield equipment segment, supplies tools and machinery needed by oil and gas drillers.
Pelican Energy said it was working with the unit’s management team to turn it into a stand-alone business.
Following the transaction, expected to close in the fourth quarter of 2020, Baker Hughes will retain the SPC projects business in the Middle East, Africa, North Sea and Asia.
(Reporting by Shruti Sonal in Bengaluru; Editing by Shounak Dasgupta)