Siemens acquires India's C&S Electric in $296mn deal

By Daniel Brightmore
Share
Siemens is buying Indian electrical equipment maker C&S Electric in a€267mn ($296.21mn) deal, the German industrial group revealed on Friday. The...

Siemens is buying Indian electrical equipment maker C&S Electric in a 267mn ($296.21mn) deal, the German industrial group revealed on Friday.

The privately held New Delhi-based company makes low-voltage switchgear parts, metering devices and other products used to transmit and distribute electricity, Siemens said. 

The C&S deal comes as Siemens reorganizes itself around its smart infrastructure and industrial automation businesses when it spins off its energy business this year, reports Reuters.

C&S, which employs 5,000 people, had estimated sales of around 150 million euros in 2019, with an operating profit margin of 10% to 15%, Siemens stated. 

Andreas Matthe, chief executive of the low-voltage products business at Siemens’s Smart Infrastructure division, said buying C&S would help Siemens provide products for the Indian low-voltage market, which has been growing at around 6% per year. 

Siemens wants to boost its presence in India’s home-building, construction and infrastructure sectors like airports.

SEE ALSO:

Siemens Gamesa to build 250MW wind farm in Egypt

ExOne and Siemens partner on industrial 3D printing technology

The defence and electronics sectors are driving India’s manufacturing industry

Read the latest issue of Manufacturing Global here

“India is one of the fastest growing markets in the world, and there is so much to do in terms of infrastructure and improving the energy supply,” Matthe commented. 

But to tap into the trend, Siemens needed to provide locally produced, cheaper products, he added. 

The acquisition will also provide a launchpad to export products to other Asian countries, a strategy identified by Siemens as a growth driver for its Smart Infrastructure unit. 

“Safe, intelligent and reliable electrification is the backbone of economic and societal development,” said Siemens managing board member Cedrik Neike, who is responsible for Asia and leads the Smart Infrastructure business. 

“Joining forces with C&S Electric allows us to bring a more comprehensive portfolio that addresses the needs of a very important market.” 

Siemens will buy around 99% of the equity share capital under the agreement, which is subject to regulatory approvals.

Share

Featured Articles

UPDATED VENUE & DATE – Manufacturing LIVE Chicago 2025

Manufacturing LIVE Chicago announces important changes to its venue and date for the co-located event with PSC LIVE and Sustainability LIVE in 2025

The Breakdown of the Global Plastics Treaty isn't the end

The failure of the INC-5 talks has caused anger across the manufacturing sector, but the breakdown of this treaty will not stop efforts to address plastic

Stellantis Plant Shutdown Confirms EV Manufacturing Concerns

Stellantis is shutting down its Luton EV plant due to low demand, vindicating some manufacturers concerns that EV governmental targets are too ambitious

The Highlights of the Rockwell Automation Fair 2024

Digital Factory

TFL Drives Future of Electrification With Buses on Route 358

Sustainability & ESG

Nissan: Striving To Safeguard EV Manufacturing Interests

Sustainability & ESG