SLB Acquires Kelvion for $3.4 Billion to Expand Data Center Solutions
SLB has announced the acquisition of Kelvion for approximately $3.4 billion in cash, along with $0.7 billion in debt, totaling about $4.1 billion. This acquisition aims to enhance SLB's capabilities in data center solutions, targeting significant revenue growth in the sector by 2028.
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SLB will acquire Kelvion from Apollo-managed and Triton-managed funds, with the transaction valued at approximately 11 times the estimated 2026 EBITDA before synergies. Kelvion is projected to generate revenues of $2.3 to $2.4 billion and an adjusted EBITDA of $350 to $400 million in 2026, primarily from the data center market, which expects revenues of $1.2 to $1.3 billion.
The acquisition is expected to be accretive to both earnings per share and free cash flow per share within the first 12 months post-close and to generate annual EBITDA synergies of around $120 million within three years. SLB aims for combined revenue of $4.5 to $5 billion and adjusted EBITDA of $700 to $800 million in data center solutions by 2028. The transaction is subject to customary closing conditions and regulatory approvals, anticipated to finalize in the first half of 2027.
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