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General Electric takes over Wellstream

A US firm has agreed an £800m deal to takeover Oil and gas service company Wellstream.

The company has been bought by General Electric (GE) and will now trade as part of GE oil and gas.

The Walker based firm, which employs 400 people at its headquarters twice rebuffed General Electrics proposal of 750p a share but has now agreed to an offer worth 786p.

The value of the deal will include a special dividend for Wellstream shareholders.

Vinay Bedi, a shares analyst at Brewin Dolphin in Newcastle believes that the deal has come as “no surprise.”

He said: “It’s one of those things where it was anticipated by the markets round about the end of September time.

“The market had been anticipating that there was a deal being done and today announcement has finalised that.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .