At a time when the free fall of crude oil prices is driving the valuation of energy services companies to an all-time low, the market is set to witness yet another merger leading to further consolidation of the industry. Schlumberger, the world’s largest oilfield contractor, has announced its plans to acquire Cameron International, an oilfield equipment maker, in a stock and cash transaction valued at $14.8 billion. The market seemed positive about the deal, since Schlumberger’s stock fell only 3.4% on Wednesday, 26th August, when the news became public, as opposed to a 12% decline witnessed by its closest competitor Halliburton when it announced the deal with Baker Hughes in November last year. Cameron’s stock jumped over 40% within a single trading day. Schlumberger expects to close the transaction, which is likely to be accretive within the first year, by the first quarter of 2016, subject to Cameron’s shareholders’ approval and other regulatory approvals. In this article, we will discuss the deal in the light of its rationale and value accretion to the companies.