Siemens AG, a German technology giant, has announced its decision to acquire an 18% stake in Siemens India. This transaction involves purchasing the stake from Siemens Energy for a sum of ₹18,928 crore, calculated at ₹2,952.86 per share. Notably, this acquisition price reflects a 15% discount on the average share price, amounting to approximately 2.1 billion euros or $2.28 billion.
This strategic move will result in Siemens AG increasing its holding in the publicly listed Siemens Ltd. India from 51% to 69%, while Siemens Energy’s stake will consequently reduce from 24% to 6%. This acquisition is part of a broader effort to streamline business activities within the Indian subsidiary of Siemens.
The decision for this acquisition was made on the backdrop of Siemens Energy’s intention to sell a part of its stake to enhance its liquidity. The deal is significant for both Siemens AG and Siemens India, as it underscores the commitment of Siemens AG to its operations and market presence in India.
The completion of this transaction will consolidate Siemens AG’s position as a major stakeholder in Siemens India, likely influencing the company’s future strategic directions and operations within the Indian market.