Baker Hughes sells Waygate Technologies to Hexagon for $1.45 billion, focusing on core growth areas while Hexagon expands inspection capabilities globally.
Baker Hughes has announced that it has reached an agreement to divest its Waygate Technologies division to Hexagon in a deal valued at approximately $1.45 billion in cash, subject to standard closing adjustments. This move reflects Baker Hughes’ ongoing effort to refine its business portfolio and concentrate more deeply on its core operational strengths.
Waygate Technologies, which operates under Baker Hughes’ Industrial & Energy Technology (IET) segment, has established itself as a global leader in advanced non-destructive testing (NDT). Its technologies allow for the inspection of vital industrial assets without causing operational interruptions. The scope of the sale includes a wide range of solutions such as remote visual inspection tools, ultrasonic testing systems, radiographic technologies, and advanced imaging capabilities. Additionally, the transaction covers all associated assets, including intellectual property, operational infrastructure, and workforce resources tied to the business.
This divestment aligns with a broader strategy undertaken by Baker Hughes to actively manage and optimize its portfolio. In combination with three recently completed transactions and the anticipated acquisition of Chart Industries, the company is demonstrating a consistent focus on value-driven decisions. These strategic initiatives are designed to improve financial resilience by enhancing earnings stability and strengthening cash flow generation. The capital generated from the sale is expected to further solidify the company’s balance sheet, enabling more efficient allocation of resources toward growth-oriented opportunities.
Lorenzo Simonelli, Chairman and CEO of Baker Hughes, emphasized that the transaction represents a key milestone in the company’s long-term strategy. He noted that by divesting non-core assets, the company can sharpen its focus on areas where it holds competitive advantages. These include rotating equipment, flow control systems, digital technologies, production optimization, and decarbonization solutions. By prioritizing these segments, Baker Hughes aims to achieve higher returns while accelerating investments in sectors that are aligned with its long-term growth vision.
On the other side of the transaction, Hexagon stands to strengthen its already robust portfolio. Headquartered in Stockholm, Hexagon operates in around 50 countries and employs approximately 24,500 people. The company is widely recognized for its leadership in precision measurement, positioning systems, and autonomous technologies. Its solutions support industries such as aerospace and defense, automotive manufacturing, construction, mining, and general industrial production. By acquiring Waygate Technologies, Hexagon is expected to expand its capabilities in inspection and testing, further enhancing its ability to deliver quality, safety, and productivity improvements for its global customer base.
The completion of the deal is subject to customary conditions, including necessary regulatory approvals. If all requirements are met, the transaction is anticipated to close in the second half of 2026. Overall, this agreement underscores Baker Hughes’ commitment to strategic transformation while enabling Hexagon to broaden its technological expertise and market reach.
