SIEMENS TO SELL INNOMOTICS TO KPS CAPITAL PARTNERS

SIEMENS HAS APPROVED THE SALE OF its electric motors and large drives company Innomotics to KPS Capital Partners, LP (KPS). The deal, reportedly worth €3.5 billion, is expected to be concluded in the first half of fiscal 2025, subject to customary foreign investment and merger control approvals.

“By selling Innomotics to KPS, I am pleased that we have made further significant progress in optimising our portfolio. The search for the best new owner has been successful,” said Ralf P. Thomas, Chief Financial Officer of Siemens AG. “This decision gives customers and those who work at Innomotics clarity and paves the way for extensive opportunities for further successful business development.” In November 2022, Siemens decided to combine its large drives and electric motors businesses under one roof and set them up independently, outside Siemens AG’s core business, under the Innomotics brand.

The positive responses from customers and the market, as well as the growth of Innomotics during the carve-out, underline Innomotics’ strong positioning as a leading supplier of large drives and motors capable of addressing its customers’ most demanding technical requirements. Siemens believes that the future setup, with KPS as the new owner, will offer Innomotics the best framework conditions for sustainable and growth-oriented development.

“The partnership with KPS will support Innomotics in further expanding our extensive track record of successful technological innovation and of providing our customers with world-class products, solutions and services,” said Michael Reichle, Chief Executive Officer of Innomotics. “We look forward to working closely together with KPS and our talented people as we continue to deliver significant value for our customers around the world and enhance our strong technological leadership. Innomotics will continue to benefit from strong growth potential driven by the sustainability-oriented demand for highly efficient electrification and energy consumption in industry and society.”