10:52 AM EDT, 06/04/2025 (MT Newswires) -- Chart Industries ( GTLS ) and Flowserve ( FLS ) agreed to an all-stock "merger of equals" that values the combined company at about $19 billion and aims to serve the full customer lifecycle for flow and thermal management.

Investors of Chart will receive 3.165 shares of Flowserve ( FLS ) for each stock owned. Upon completion of the transaction, which is anticipated in the fourth quarter, Chart's shareholders will control 53.5% of the combined company, with Flowserve's ( FLS ) investors owning the remaining.

Chart manufactures equipment for applications in clean energy and industrials. Its shares declined 7.3% intraday, while flow control systems maker Flowserve ( FLS ) fell 4.7%.

"Combining Chart and Flowserve ( FLS ) creates a comprehensive solutions platform, with the financial strength and resilience to continue driving growth and long-term value," said Chart Chief Executive Jill Evanko, who will serve as chair of the combined company.

The combined company, which will have a global footprint across more than 50 countries, will address the full customer lifecycle from process design through aftermarket support. It will assume a new name following close.

The merger is anticipated to be "meaningfully" accretive to adjusted earnings per share in the first year post close. It is expected to generate about $300 million in annual cost savings within three years, as well as commercial revenue synergies "over time," according to a joint statement.

"The merger will create a differentiated leader with the scale and resilience to meet the significant demand for comprehensive industrial process technologies and services," said Flowserve ( FLS ) CEO Scott Rowe, who will head the combined company.

The transaction requires approvals from regulators and shareholders of both companies.

Price: 151.12, Change: -10.37, Percent Change: -6.42