Siemens Energy has reportedly commenced the process of selling the Indian turbine unit of Siemens Gamesa, attaching a hefty $1 billion price tag to the endeavor.
According to sources familiar with the matter, Siemens Energy has enlisted Barclays to spearhead the sales proceedings, as reported by Indian financial news outlet Mint.
Among the contenders eyeing the acquisition, Adani Renewable Energy, India's largest alternative energy company, is purportedly positioned favorably to secure the bid, as indicated in the report. Additionally, entities such as Masdar from Abu Dhabi and investors TPG Rise, Brookfield Energy Transition Funds, and Macquarie have been cited as potential buyers.
In response to queries, Siemens Energy issued a statement outlining the rationale behind the decision, stating, “Siemens Gamesa recently presented a plan on how we can return the company to profitability. Part of this action plan is also the focus on core markets in the onshore sector, i.e. with wind turbines on land.”
The statement further elucidated the company's strategic direction, highlighting a concentration on core markets in Europe and the USA while maintaining a presence in other viable markets. While affirming the inherent appeal of the Indian market, Siemens Energy emphasized its commitment to fulfilling service obligations in the region.
“Further detailed decisions have not yet been made,” the statement concluded, reflecting the ongoing deliberations regarding the future trajectory of Siemens Gamesa's operations in India.
