Schneider acquires Invensys for £3.4bn
31 Jul 2013
UK-based Invensys today accepted an offer from France’s Schneider Electric to acquire the company for £3.4 billion.
The deal amounts to 502p per Invensys share, and the Schneider board stated that the acquisition would add €400 million per year to the company’s revenues.
It is likely that there will be some job losses as a result of the deal, with Schneider aiming to achieve “cost savings of approximately €140 million per annum by 2016, derived from structural and administrative cost savings, efficiency gains at country and regional levels and synergies on procurement and production costs.”
Commenting on the offer made by his company, Schneider Electric chairman and CEO Jean-Pascal Tricoire said: “The addition of Invensys’ businesses will considerably strengthen Schneider Electric’s overall offering to its industrial and infrastructure customer base, reinforcing us as a global leader in energy management solutions integrating power and automation, as well as leading software for customer efficiency.
“The transaction will allow Schneider Electric to benefit from increased scale and realise substantial synergy benefits from the combination.”
The deal is expected to be completed by the end of the year.
