Energy sector could see more deals after US$15b Cameron sale

Houston

SCHLUMBERGER Ltd's takeover of Cameron International Corp could inspire more dealmaking.

The world's biggest oilfield contractor agreed on Wednesday to buy pump-and-valve maker Cameron for about US$66.36 a share in cash and stock. It's the second-largest oil and gas services deal on record after No 2 Halliburton Co agreed to buy No 3 Baker Hughes Inc for more than US$35 billion in November.

The US$15 billion purchase price for Cameron is about 14 times what the company earned before interest, taxes, depreciation and amortization in the last year. Cameron hasn't commanded such a rich valuation since February 2014, and shareholders are getting a higher multiple than…