Schlumberger Expands Carbon Capture Reach Through Aker ACC Deal: Details
Portfolio Pulse from Nabaparna Bhattacharya
Schlumberger N.V. (NYSE:SLB) has announced a deal to merge its carbon capture division with Aker Carbon Capture (ACC), acquiring an 80% stake in the combined business for NOK 4.12 billion ($380.86 million). The deal, expected to close by Q2 2024, aims to advance large-scale industrial decarbonization. Schlumberger may also make additional payments based on performance. The company plans to increase share repurchases in 2024 and expects significant growth, particularly in the Middle East.
March 28, 2024 | 10:50 am
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Schlumberger's merger with Aker Carbon Capture positions it as a leader in industrial decarbonization, with an 80% stake in the new venture. The company's commitment to share repurchases in 2024 signals confidence in its financial health and future growth, particularly in the Middle East.
The merger with ACC not only enhances Schlumberger's position in the carbon capture and decarbonization sector but also reflects a strategic move to diversify and strengthen its business model. The commitment to increase share repurchases in 2024 further indicates the company's confidence in its financial stability and growth prospects, especially given its strong position in the Middle East. These factors are likely to positively influence investor sentiment and the stock price in the short term.
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