1. Siemens Limited in India has approved a proposal to demerge its energy business.
2. The demerged entity, Siemens Energy India Limited, will be listed on the BSE and NSE.
3. The demerger process will be completed by 2025, allowing both companies to focus on their core portfolios.
Siemens Limited, the Indian subsidiary of Siemens AG, has announced plans to demerge its energy business by 2025. This decision involves the creation of a new entity, Siemens Energy India Limited, which will focus solely on energy technology. The demerger will result in two separate companies, with Siemens Limited focusing on industry, infrastructure, and mobility technology. Shareholders of Siemens Limited will receive shares of the new company as part of the demerger process. Siemens Energy India Limited will provide solutions across the energy value chain, including conventional and renewable technologies like gas turbines and power generators. This move is intended to better serve the respective markets and customer bases of each company. The announcement comes as India is expected to see rapid growth in power generation by fiscal 2025. Siemens AG is considering future investments in India to support the country’s grid upgrades and electrification efforts. Additionally, Siemens Limited plans to expand two of its factories in Goa as part of a significant capital expenditure investment.