SLB 8-K

PositiveNew guidanceDeal pending

Deal to acquire Kelvion adds data center cooling, more than doubling SLB’s revenue opportunity per gigawatt

Filed 2026-08-31 06:58 ET

Summary

SLB agreed to acquire Kelvion, a thermal management and heat-exchange technology provider, expanding SLB’s data center infrastructure business. The deal adds cooling capabilities to SLB’s existing modular and engineering offering; SLB says it more than doubles its revenue opportunity per gigawatt of delivered capacity.

Key Figures

  • Consideration: approximately $3.4B in cash, plus assumption of approximately $0.7B of debt; sellers are Apollo-managed funds and Triton-advised funds.
  • Valuation: approximately 11× estimated 2026 EBITDA before synergies, or 8.5× including expected annual run-rate synergies.
  • Closing is expected in H1 2027, subject to customary closing conditions and regulatory approvals.

Guidance

Metric Period Guidance Prior Direction
Kelvion revenue 2026 ≈$2.3B–$2.4B — —
Kelvion adjusted EBITDA 2026 ≈$350M–$400M — —
Kelvion data center revenue 2026 $1.2B–$1.3B — —
SLB Data Center Solutions revenue CAGR 2024–2026 >90% — —
SLB cumulative delivered capacity By end of 2026 >2 GW — —
Combined data center revenue, pro forma 2026 >$2B — —
Combined data center adjusted EBITDA, pro forma 2026 ≈$300M — —
Combined data center solutions revenue 2028 $4.5B–$5B — —
Combined data center solutions adjusted EBITDA 2028 $700M–$800M — —
Annual EBITDA synergies Within three years ≈$120M run-rate — —
EPS and free cash flow per share First 12 months after closing Accretive — —
Net debt-to-EBITDA Through-cycle Up to 1.5× Up to 1.5× Reaffirmed
Shareholder returns 2026 >$4B through dividends and share repurchases — Reaffirmed
Shareholder returns 2027 At least in line with 2026 levels 2026 levels —

Investor Takeaways

  • Regulatory approvals and closing timing will determine when SLB can begin integrating Kelvion.
  • Watch progress toward the expected synergies and the combined data center business’s 2028 targets.

The summary is written by an AI model reading the filing.

Model 005 · prompt 01d34d48e3

Feedback