FRANKFURT :Siemens Energy will sell 90 per cent of its wind turbine business in India and Sri Lanka to an investor group led by the climate investment arm of buyout group TPG, it said on Wednesday, in a push to focus on what it sees as core markets.
No financial details were disclosed.
Shares in Siemens Energy rose to the top of Frankfurt’s blue-chip index following the news, trading 3 per cent higher at 0832 GMT.
As part of the deal, Siemens Energy will transfer around 1,000 employees and two manufacturing plants in India to the new entity, it said, adding around 1,200 of its local staff would not be part of the deal.
Siemens Gamesa, Siemens Energy’s wind turbine division, holds a 30 per cent market share in India but has previously said it was considering strategic options for the business, citing cut-throat competition.
“The new company will serve the Indian market more effectively while also offering a long-term perspective for employees and customers,” said Vinod Philip, Siemens Energy’s board member in charge of Siemens Gamesa.
Siemens Gamesa has an installation base of nearly 10 gigawatts (GW) in India and provides service to more than 7 GW worth of turbines under long-term agreements, it said, adding the market was expected to add 57 GW of capacity by 2032.
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