Schneider Electric Acquires Temasek’s Remaining Stake In Indian JV For €5.5 Billion | Business News
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Schneider Electric emphasized that full ownership of SEIPL will enhance the company’s agility and decision-making speed in India
Schneider Electric
Schneider Electric, the French multinational specializing in energy management and automation, has announced plans to acquire the remaining 35% stake in Schneider Electric India Pvt Ltd (SEIPL) from Temasek for an all-cash consideration of €5.5 billion. The deal will give Schneider Electric full ownership of the unlisted Indian joint venture, according to a regulatory filing on July 30.
The company described the acquisition as a “logical next step” in its long-term India strategy, calling the country an “attractive domestic growth market” and a “key hub” in its multi-hub global operating model.
Strategic Rationale and Growth Focus
Schneider Electric emphasized that full ownership of SEIPL will enhance the company’s agility and decision-making speed in India. The country is central to the group’s plans for expanding its research, development, and supply chain capabilities for both regional and emerging markets.
“India is one of the key focus markets of Schneider Electric for the years to come,” said Olivier Blum, CEO of SEIPL. “We are excited to capture the full growth potential of this unique opportunity and to leverage our exceptional R&D, digital, and supply chain talent in India to support global operations.”
Temasek’s Exit
Temasek, which partnered with Schneider Electric through the joint acquisition of L&T’s electrical and automation business in 2020, expressed satisfaction with the value created through the collaboration.
“We have been privileged to journey alongside SEIPL and look forward to seeing them grow as a leading franchise in India,” said Chia Song Hwee, Deputy CEO of Temasek.
Reports had indicated Temasek was exploring an exit from the JV since last year.
India Growth Plans
Schneider Electric said it expects SEIPL to deliver double-digit compound annual growth in organic sales in the coming years. The company also plans to scale up its capacity in India by 2.5x to 3x, leveraging it further as a core hub for innovation and exports—especially across the Asia-Pacific and other emerging markets.
SEIPL recorded €1.8 billion in revenue last year, with total sales in India reaching €2.5 billion across subsidiaries.
The transaction is subject to regulatory approvals, including clearance from the Competition Commission of India, and is expected to close in the coming quarters.
Once complete, Schneider Electric will own 100% of SEIPL, reinforcing its long-term commitment to India as a strategic growth market.
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More
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