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The largest transaction in the oil service industry - amalgamation of the American companies Halliburton and Baker Hughes – is canceled. On Sunday, May 1 the companies announced that they terminated the agreement on amalgamation.

According to Lenta, the decision was made due to the counteraction of antimonopoly bodies and the current situation in the field. Because of the expiration of the agreement on amalgamation Halliburton will pay Baker Hughes a compensation in the amount of 3.5 billion dollars.

Two world leaders in the field of oil and gas serving industry announced about the amalgamation in November of 2014. At present, the companies occupy the second and the third places in the industry, respectively. It was assumed, that after they have amalgamated, they would operate under the name Halliburton and occupy the second place in the market giving in only to Schlumberger.

According to the agreement, Halliburton would have acquired all Baker Hughes’ assets that are in circulation. Baker Hughes shareholders, in their turn, would receive about 36 percent of the merged company. The plans of the companies have been stirred up due to the authorities’ opposition. The US Ministry of Justice announced about commencing a trial to block the transaction.

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