The proposed move will lead to the acquisition of 100% of the share capital of C&S Electric by Siemens Limited.
As per the agreement signed between the parties, Siemens will acquire low voltage switchgear components and panels, low voltage and minimum voltage busbars, and protection and metering devices of C&S.
The existing promoters of C&S will retain other businesses of C&S Electric, like the medium voltage switchgear and package substation, lighting, diesel generating sets, engineering, procurement, and construction (EPC) business, and the ‘Etacom’ busbars.
Siemens Limited had signed an agreement to acquire C&S Electric Limited in January 2020. The acquisition of C&S will strengthen Siemens’ position as one of the leading providers of low voltage power distribution and electrical installation technology. The deal is expected to be worth nearly ₹21 billion (~$280.06 million).
Siemens India mainly focuses on power generation and distribution, infrastructure for buildings, distributed energy systems, and automation and digitalization in manufacturing industries.
Established in 1966, C&S Electric is into the manufacturing of a range of electrical products like switchgear, power protection, and electrical distribution products. C&S Electric is also engaged in the development of grid-connected solar power projects.
Last year, Siemens had announced the acquisition of the string inverter business of the KACO new energy GmBH, a manufacturer of energy-related power electronics, for an undisclosed amount. The project development and EPC activities were not part of the acquisition.
Last year, it was reported that Greenko Group signed an agreement with Siemens Financial Services (a division of Siemens) for 46% equity investment in its 200 MW Poovani wind power project in Tamil Nadu. This was the first investment by Siemens in a wind farm in Asia.
Previously, Mercom had reported that Siemens had launched Sinacon PV, a new generation of photovoltaic central inverters with an output of up to 5,000 kVA. The manufacturing is at Siemens’ Kalwa plant near Mumbai for the domestic market as well as for export.