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The logo of energy technology company Siemens Energy is displayed during the LNG 2023 energy trade show in Vancouver on July 12 2023. File Picture: REUTERS/Chris Helgren
The logo of energy technology company Siemens Energy is displayed during the LNG 2023 energy trade show in Vancouver on July 12 2023. File Picture: REUTERS/Chris Helgren

Frankfurt — Siemens Energy will sell 90% 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 after the news, trading 3% higher in morning trade.

As part of the deal, Siemens Energy will transfer about 1,000 employees and two manufacturing plants in India to the new entity, it said, adding about 1,200 of its local staff would not be part of the deal.

Siemens Gamesa, Siemens Energy’s wind turbine division, holds a 30% 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 10GW in India and provides service to more than 7GW worth of turbines under long-term agreements, it said, adding the market was expected to add 57GW of capacity by 2032.

Reuters

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