SLB to expand data center business with $3.4 billion deal for Kelvion

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Aug 31 (Reuters) - SLB SLB.N on Monday said it will acquire cooling equipment maker Kelvion from Apollo Global APO.N for $3.4 billion in cash, expanding its data center business as rapid AI adoption drives demand for power and cooling infrastructure.

The oilfield services company will also assume about $700 million of Kelvion's debt under the deal, which is expected to close in the first half of 2027.

The acquisition of Kelvion, majority owned by Apollo-managed funds, is expected to strengthen SLB's data center solutions business with critical thermal management technologies.

SLB will also acquire funds advised by Triton, which hold a minority interest in the cooling equipment maker.

(Reporting by Vallari Srivastava in Bengaluru; Editing by Jonathan Ananda)

((Srivastava.Vallari@thomsonreuters.com;))