Texas-based services players Halliburton and Baker Hughes said Monday that they have agreed to extend the U.S Department of Justice’s review of their planned merger to at least November 25.
The companies have entered into timing agreement with the Antitrust Division of the U.S. Department of Justice (DOJ) that will extend the DOJ’s review to November 25, 2015, or to 90 days after both companies have certified substantial compliance with the DOJ’s second request.
The two companies said they expect to certify substantial compliance with the DOJ’s second requests, issued to each company, by mid-summer.
Halliburton and Baker Hughes also have agreed to extend the time period for closing the acquisition to no later than December 1, 2015.
Halliburton agreed in November to buy rival firm Baker Hughes for $34.6 billion in cash and stock.
The companies have been holding discussions with the DOJ, the European Commission and other competition enforcement authorities about the acquisition.
Halliburton is currently marketing for sale its Fixed Cutter and Roller Cone Drill Bits, Directional Drilling and Logging-While-Drilling (LWD)/Measurement-While-Drilling (MWD) businesses.
Halliburton has also shared with various competition enforcement authorities around the world a proposal to divest from additional businesses that, together with the previously announced divestitures, are within the scope of those considered by the company when the acquisition deal was first inked.
The companies have not yet reached agreements with any competition enforcement authority about the adequacy of Halliburton’s proposal or any alternative proposal.
“The parties will continue to work constructively with all competition enforcement authorities that have expressed an interest in the proposed transaction,” the companies said.