Baker Hughes Inks 2025’s Largest Bridge Loan for Chart Purchase

Baker Hughes Co. has secured the largest blue-chip acquisition debt financing of the year, a $14.9 billion 364-day bridge loan facility from Goldman Sachs and Morgan Stanley. This facility underpins its $9.6 billion acquisition of Chart Industries Inc., serving as interim funding should permanent financing not be secured before the deal's anticipated mid-2026 close. The substantial bridge commitment underscores significant M&A activity within the oilfield services sector and the strategic use of large-scale interim financing for major corporate transactions.

Analysis

Baker Hughes has secured the largest blue-chip acquisition debt financing of 2025, arranging a $14.9 billion, 364-day bridge loan facility with Goldman Sachs and Morgan Stanley to support its $9.6 billion purchase of Chart Industries. This commitment letter provides critical financial certainty for the transaction, mitigating immediate funding risk ahead of the anticipated mid-2026 closing. The facility is explicitly a temporary measure, designed to be replaced by permanent financing, such as senior-unsecured debt and term loans. The size of the facility relative to the purchase price suggests a conservative approach, potentially covering associated fees, refinancing of existing Chart debt, or providing operational liquidity post-acquisition. This move underscores both Baker Hughes' capacity to command significant credit from top-tier institutions and the continued appetite for large-scale M&A within the oilfield services sector.

Key Decisions for Investors

• For Baker Hughes (BKR) investors, the secured bridge loan significantly de-risks the transaction's completion; attention should now shift to the terms of the future permanent financing, which will dictate the deal's ultimate impact on the company's leverage profile and interest expense.
• Chart Industries (GTLS) shareholders can view this as a strong confirmation of the deal's viability, increasing the likelihood of the acquisition closing as planned by mid-2026.
• This transaction serves as a key indicator of health in the corporate credit markets, and investors should monitor the terms of Baker Hughes' eventual permanent debt issuance as a potential benchmark for future large-scale M&A financing.