(Reuters) - General Electric Co <GE.N> is nearing an about $30 billion deal to merge its oil and gas business with Baker Hughes Inc <BHI.N>, the Wall Street Journal reported on Sunday.

The combined entity will be controlled by GE and would have publicly traded shares, the Journal reported, citing people familiar with the matter. http://on.wsj.com/2fuYplX

The deal is to be announced on Monday, the Journal said.

GE said in a statement last week that it was in talks with the oilfield services provider on potential partnerships but none of those options included an outright purchase.

Baker Hughes' planned merger with bigger rival Halliburton Co <HAL.N> fell through in May due to opposition from regulators.

A partnership with Baker Hughes could help GE to transform its oil and gas division and emerge a larger player in the sector to better compete with oilfield services leader Schlumberger <SLB.N>.

Also, this partnership could give Baker Hughes a chance to redefine itself following the failed merger.

(Reporting by Vishal Sridhar in Bengaluru; Editing by Gopakumar Warrier)