The graph above is the International Rig Counts of Baker Hughes. Supposedly the more rigs in any count the more the company is worth.
More recent rig counts. (click here) The pages can be opened without copying them. The documents are Excel or Word.
This is the Word Document of Baker Huges (click here) archived history of rig counts dating back to 1975.
Below are the statistics on rig counts from current activity. Call me crazy, but, this doesn't look good at all. If Halliburton thinks it is going to save itself from bankruptcy, it might want to reconsider such an idea. This seems a little desperate. Halliburton is attempting to own it's own operating rigs so it's service industry doesn't tank.
Above Graphs (click here).
So.
Along come GE.
This is a paragraph that explains Jeffery Immelt's plan for buying significant amounts of Halliburton assets. I don't blame him, the financial sector is somewhat unstable after China devalued it's currency.
September 11, 2015
By James Langford
..."Over time, (click here) there has been significant interest from premier investment firms in acquiring GE Asset Management, reflecting its reputation and attractiveness to others," Immelt said in a statement on Thursday. "As we continue to transform GE to focus on our industrial core, now is the right time to explore such a sale."
Selling most of GE Capital, which Immelt announced earlier this year, will allow the company to escape stricter regulatory requirements imposed when the Treasury designated the business as a non-bank systemically important financial institution.
The SIFI label is intended to provide additional safeguards against a financial crisis like the one in 2008 and 2009 when heightened risk at GE Capital cost the parent company its top credit rating and forced Immelt to cut GE's dividend.
The GE Asset Management unit manages portfolios for global clients, and the vast majority of its holdings are in publicly traded stocks and bonds in areas including the U.S., Europe, Canada and China. The remainder includes near-cash investments, hedge funds and private equities....
And also:
September 15, 2015
By James Passeri
GE, which Bloomberg reported on Tuesday (click here) is making a bid for the Halliburton assets, is likely to have competition from private equity firms and industrial rivals. Even at lower valuations, completing the deal would expand the company's reach in the Middle East and Africa, where Halliburton's brand is well established.
"This is a once in a lifetime opportunity," Hallead said in a phone interview. "It took Halliburton 50 years to build them, and you don't just walk into a Middle East or African country and hold up a shingle for them. You cannot replicate the deal you are getting with these assets."
The asset divestitures Halliburton must make include a drill bits business as well as directional drilling services. A cementing business -- which was included in the $7.5 billion revenue estimate -- has yet to come to the auction block, further reducing the potential value, Hallead said.
Now that GE has won approval for its acquisition of Alstom's energy businesses, valued at 12.5 billion euros or about $14 billion at current exchange rates, "it's highly probable that they're in talks for some of the Halliburton-Baker Hughes assets," Christopher Glynn, an analyst with Oppenheimer & Co., said in a phone interview.
And there is this:
December 9, 2015
By Amanda Schiavo
New York (The Street) -- Shares of Halliburton (HAL - Get Report) (click here) are rising by 5.16% to $38.14 on Wednesday afternoon, following a Bloomberg report suggesting the oilfield services company is in advanced talks with General Electric (GE) to sell the conglomerate its drill bits and drilling services divisions.
Halliburton is divesting as many assets as it can in order to win antitrust approval for its proposed $35 billion acquisition of Baker Hughes (BHI).
"We're making good progress with our divestitures with respect to the first tranche, which is our drilling services and drill bit assets," Halliburton CFO Christian Garcia said at an energy investor conference on Wednesday, Bloomberg noted....
The company that brought the American people the Iraq War, Dick Cheney and electrocution of American soldiers in Iraq as a new method of personal hygiene, is now making a list for Santa Clause. I've never witnessed such deal making in my life with the numbers that are here. If I were GE I'd wait for both Halliburton and Baker Hughes to go bankrupt and then purchase the assets of both for a song and a dance.
If Imelt plays his cards right Halliburton and Baker Hughes will be paying GE to take their assets along with a check from Dick Cheney for playing with exotic financial interests and being over extended on his margin call.
