Baker Hughes Sells Sensors Unit To Crane Company For $1.15 Billion

Baker Hughes Co. BKR announced on Monday that it will sell its Precision Sensors & Instrumentation (PSI) unit to Crane Company CR for approximately $1.15 billion in cash. The move is part of Baker Hughes’ broader strategy to streamline its portfolio and reallocate capital toward higher-return opportunities.

PSI, a division within Baker Hughes’ Industrial & Energy Technology segment, includes well-known brands such as Druck, Panametrics, and Reuter-Stokes. These brands specialize in sensor-based technologies for measuring pressure, flow, gas, moisture, and radiation.

The unit employs roughly 1,600 people worldwide, and the sale includes all associated assets, including intellectual property and infrastructure.

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Lorenzo Simonelli, Chairman and CEO of Baker Hughes, said the sale supports the company’s renewed focus on core areas like rotating equipment, asset performance management, flow control, and decarbonization. He noted that the divestiture enhances long-term value creation and bolsters the company’s balance sheet.

Crane Company pegged the net value of the deal at $1.06 billion after expected tax benefits, citing PSI’s projected 2025 sales of $390 million and adjusted EBITDA of $60 million.

Max H. Mitchell, Chairman and CEO of Crane, described PSI as “a perfect fit” for its Aerospace & Electronics and Process Flow Technologies divisions.

Mitchell highlighted how the Druck brand will strengthen Crane’s aerospace pressure sensing capabilities while Reuter-Stokes will significantly expand its nuclear detection portfolio. Panametrics, he added, brings advanced flow and moisture measurement solutions that serve a wide range of industrial applications.

Crane expects the acquisition to deliver a 10% return on invested capital within five years, with sales growth projected between 4% and 6%, alongside strong operating leverage. The acquisition will be financed through a mix of cash and new debt, with closing anticipated by late 2025 or early 2026.

Investors may also track relevant ETFs such as the Industrial Select Sector SPDR Fund XLI and the iShares U.S. Industrials ETF IYJ.

Price Action: At the last check on Monday, CR shares were trading higher by 1.03% to $179.51, and BKR stock was up 0.11% at $37.94.