Siemens AG has published key details of the spin-off of its energy business, together with the invitation to the Extraordinary Shareholders’ Meeting to be held 9 July 9, 2020.
Siemens shareholders are to receive, automatically, one share of Siemens Energy AG for every two shares of Siemens AG. 55% of Siemens Energy will be spun off to Siemens shareholders in this way.
Depending on the strategic and operational development of the two companies, Siemens AG intends to further reduce its stake in Siemens Energy significantly within 12 to 18 months of the spin-off date. In addition, to ensure Siemens Energy’s autonomy and independence, Siemens has placed itself under a contractual obligation to refrain from exercising a controlling influence over the new company in the future. But the aim is to create a company with a strong capital and liquidity base. A solid investment-grade rating is the target.
Subject to approval by the Extraordinary Shareholders’ Meeting, plans call for the spin-off to take place, as previously announced, by the end of September 2020. The initial listing is to take place on 28 September this year
“Turning Siemens’ energy business into an independent company is a key milestone in the successful execution of our Vision 2020+ strategy programme,” said Joe Kaeser, president and CEO of Siemens AG. “The considerable increase in the value of our healthcare business shows the huge potential we can tap by further sharpening the focus of our company. This applies to both Siemens Energy and the ‘New Siemens AG’ which is concentrating on our industrial businesses. We’ve now reached a major milestone in the overall realignment that is preparing the Siemens companies for the massive technological transformations that we are anticipating.”