Baker Hughes, a global energy technology company, has announced an agreement to establish a new joint venture with a subsidiary of Cactus, Inc. Under the terms of the agreement, Baker Hughes will contribute its Surface Pressure Control product line to the venture, while Cactus will take operational control and hold a 65 percent ownership stake. Baker Hughes will retain a 35 percent interest.
The joint venture will operate independently from Cactus’ existing Pressure Control business and will focus on strengthening its position in the international market for surface wellhead and production tree systems.
This move reflects Baker Hughes’ strategy to streamline its portfolio, enhance the durability of its earnings and cash flow, and redeploy capital toward higher-return opportunities. The company emphasised its continued commitment to a disciplined capital allocation approach.
“This transaction marks an important step in our ongoing portfolio optimisation strategy, enabling us to sharpen our focus on core growth areas while continuing to drive higher returns, reinforcing our commitment to long-term value for our shareholders,” said Lorenzo Simonelli, chairman and CEO of Baker Hughes. “We remain committed to our valued SPC partners and customers whose operations we have proudly supported, and we believe this joint venture only enhances delivery of innovation and reliability in well control. The combined business will benefit from Cactus’ expertise in unconventional applications and its agility in entering international markets.”
The transaction is subject to customary closing conditions, including regulatory approvals, and is expected to be completed in the second half of 2025.
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