January 01, 2025 (MLN): The sale and transfer of Siemens' (PSX: SIEM) energy business segment to Siemens Gamesa Renewable Energy (Private) Limited for Rs 17.82 billion has been completed, following the receipt of all requisite approvals.
This is with reference to the previous letter, in which Siemens AG's board of directors approved the sale of its energy business segment, the company's filing on PSX revealed today.
The Board of Directors of SIEM, in their meeting held on March 10, 2023, granted in-principle approval for the spin-off of the Energy Business, in line with SIEM AG's spin-off of its energy business in 2020.
Taking into consideration the independent fairness opinion provided by a global audit and consulting firm, the board approved the sale and transfer of SIEM's energy business segment.
This decision was made by a majority vote during its meeting held on October 11, 2024.
The net book value of the energy business as of the valuation date was approximately Rs17.61bn.
The determination of cash to be received from the buyer and the gain or loss on the transaction depends on the net book value as of the effective date (i.e., Transaction Closure Date).
It also considers certain contractual subsequent events in accordance with the terms and conditions of the agreement to be executed with the buyer.
The closure of the transaction shall remain subject to shareholders' and other regulatory approvals.
