Schlumberger and Smith International Announce Merger
Feb 21, 2010 Mergers & Acquisition
Oilfield services companies Schlumberger (SLB) and Smith International (SII), on Sunday February 21, announced that the boards of both companies have “unanimously approved a definitive merger agreement in which the companies would combine in a stock-for-stock transaction.”
Shareholders of Smith International will receive 0.6966 shares of Schlumberger in exchange for each Smith share. Based on the closing stock prices of Schlumberger on Friday, February 18, 2010, this values the deal at $45.84 for each Smith International. Smith International has 247.4 million shares outstanding, putting the total value of the deal at $11.1 billion.
Upon completion of the deal, Smith International’s shareholders will own 12.8% of Schlumberger’s outstanding shares of common stock.
Tags: merger, schlumberger, smith international
