There are rumors that General Electric (NYSE:GE) is in talks to buy Baker Hughes (NYSE:BHI) in a deal worth over $30b, but it was later reported that GE is not interested in an outright purchase but instead is interested in forming partnerships with Baker Hughes:
We are in discussion with Baker Hughes on potential partnerships. While nothing is concluded, none of these options include an outright purchase," GE's Chief Communications Officer Deirdre Latour tells CNBC.
Currently, the outright purchase of Baker Hughes is only a rumor but I believe when there's smoke there's fire. As a long-term investor, I do not think GE should be taking on this large of an acquisition, especially in the oil and gas industry, but forming partnerships with the likes of Baker Hughes could be a great decision, in my opinion.
