Baker Hughes closed a $1.15 billion cash transaction on January 5, 2026, selling its Precision Sensors & Instrumentation (PSI) product line to Crane Company. The deal includes the Druck, Panametrics, and Reuter‑Stokes brands and was announced in July 2025, with the transaction finalizing on the first day of the new year.
The sale is part of Baker Hughes’ broader portfolio transformation strategy. By divesting PSI, the company is shedding lower‑margin, legacy assets to concentrate on higher‑margin industrial technology businesses. The $1.15 billion in cash proceeds will be used to strengthen the balance sheet, reduce debt, fund share buybacks, and reallocate capital toward higher‑return opportunities such as the company’s growing energy technology and industrial solutions segments.
For Crane, the acquisition aligns with its two core growth platforms—Aerospace & Electronics and Process Flow Technologies. Druck’s pressure‑sensing capabilities fit neatly into the aerospace segment, Reuter‑Stokes expands Crane’s nuclear sensor portfolio, and Panametrics adds advanced sensor technologies that broaden the company’s offerings. Crane expects PSI to generate roughly $390 million in sales in 2025 and to be accretive to earnings, with a projected 4‑6 % sales growth and margin expansion through the Crane Business System.
Financially, the transaction reflects a $1.06 billion adjusted purchase price after tax benefits, with the $90 million net present value of expected tax benefits. The deal’s cash‑only structure provides immediate liquidity, and the absence of debt assumption keeps the transaction straightforward. Baker Hughes’ recent joint venture with Cactus, Inc. on its surface pressure control product line underscores its ongoing focus on portfolio optimization.
Crane’s strong financial footing—evidenced by a $589.20 million revenue run‑rate in Q3 2025 and a raised full‑year 2025 adjusted EPS guidance of $5.75‑$5.95—provides the capacity to absorb PSI. The acquisition is expected to enhance Crane’s competitive positioning in mission‑critical markets and support its strategy of acquiring high‑margin, high‑technology assets.
Overall, the transaction signals a decisive shift for both companies: Baker Hughes is sharpening its focus on core, high‑margin businesses, while Crane is expanding its high‑technology footprint to drive future growth. The deal is likely to influence future capital allocation decisions and may set the stage for additional strategic acquisitions in the coming years.
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