Baker Hughes Stock Up As GE Confirms Talks For Potential Takeover

(RTTNews) - Baker Hughes Inc.'s (BHI) shares gained around 7 percent in the extended trading on Thursday after conglomerate General Electric Co. (GE) confirmed, while responding to media reports, that it is in talks to buy the oilfield services provider. The stock is moving 6 percent ahead in the pre-market activity.

In a statement, GE confirmed that it is in discussion with Baker Hughes on potential partnerships. While nothing is concluded, none of these options include an outright purchase, the company said.

Earlier in the day, the Wall Street Journal reported, citing people familiar with the matter, GE is in talks to merge its oil-and-gas business with Baker Hughes in a deal worth more than $20 billion. Such as transaction is expected to be dramatically reshape the industrial giant.

Baker Hughes shares had jumped as much as 19 percent in after-hours trading following the WSJ report.

In 2014, Baker Hughes had agreed to sell itself to rival Halliburton Co. for $35 billion, or $78.62 per share. However, the deal fell apart earlier this year after the U.S. Justice Department filed a lawsuit to block the proposed merger.

As per reports, GE had held talks about possibly bidding for parts of Baker Hughes that Halliburton was seeking to unload for the deal.