- Halliburton (NYSE:HAL +5.2%) and Baker Hughes (BHI +5.2%) move higher following official news that the U.S. Justice Department has filed a civil antitrust suit seeking to block their $35B merger deal, confirming earlier reports.
- The DoJ alleges the HAL-BHI merger, which would combine the no. 2 and no. 3 oil services companies, threatens to eliminate competition, raise prices and reduce innovation in the oilfield services industry.
- The companies say they will "vigorously contest" the DoJ action, and that the combination would provide customers with access to high quality and more efficient products and services, and an opportunity to reduce their cost per boe.
- Now read Halliburton: ValueAct really is the mullet