This agreement will combine Baker Hughes' Subsea Drilling Systems (SDS) business with MHWirth in a 50-50 joint venture. Operations will be managed from current offices in Houston and Kristiansand, Norway with Pete Miller serving as chairman and CEO of the new company. MHWirth has offices in 13 countries, and Baker Hughes has manufacturing and service centers in 11 countries.
Akastor will contribute its shares in MHWirth to the company in return for 50% of the shares and $120 million in consideration, of which $100 million is payable in cash at closing. Baker Hughes will contribute the SDS business to the Company in return for the other 50% of the shares and $200 million in consideration, of which $120 million is payable in cash at closing. Closing is expected in the second quarter of 2021.