The Board of Directors of Siemens Limited (SL) approved the proposal to demerge it’s Energy Business into a separate legal entity – Siemens Energy India Limited (SEIL), currently a wholly owned subsidiary of SL.
- SL’s focus will continue to be on Industry, Infrastructure and Mobility.
- SEIL will provide solutions across the entire energy value chain – from power and heat generation, transmission to storage through a portfolio that includes conventional and renewable energy technology such as gas and steam turbines, hybrid power plants operated with hydrogen as well as power generators and transformers.
- Energy business contributed 34% of SL’s total revenues during FY23 and 29% during H1FY25
- EBITDA contribution of the energy business during these periods was 34% and 30% respectively.
- Shareholders of SL will receive 1 share of SEIL for every 1 share of SL
- SEIL’s shareholding hence will mirror that of SL.
- SL is currently owned 75% by the Siemens group (promoters), 15.7% by DIIs+FIIs and balance 9.3% by retail.
- SEIL will be subsequently listed
The decision follows the similar decision by Siemens AG in 2020, whereby it demerged it’s energy business globally.