DJ ValueAct Still Excited By Baker Hughes, Halliburton Combo -- Market Talk
13:55 EDT - Even with today's bounce back from the lows, deals in energy sector are under some pressure including Halliburton's (HAL) $35B Baker Hughes (BHI) buy. Spread for BHI to deal price widens to 22.6% today, with BHI at $47.44 vs. implied price of $58.18. In November, duo billed it as $78.62/sh. ValueAct's Jeff Ubben who owns big positions in both, a total of $2.5B at today's prices, is still excited. "We love it," Ubben says in email today. "We see a management team committed to doing what it takes to complete the deal. As a long-term investor, I dream about management teams tough enough to create value through M&A at the bottom of a cycle. This is HAL." HAL down 2.2% to $34.89; BHI down 4.6% to $47.24. (david.benoit@wsj.com; @DaveCBenoit)