Activist investor Ananym Capital has built a stake in Siemens Energy and is pushing the German engineering group to spin off its wind business, the Financial Times reported on Friday.
The size of the holding has not been disclosed, though one person familiar with the matter described it as a “large position” for the fund, according to the newspaper. Ananym, co-founded by investor Charlie Penner, has launched a campaign arguing that Siemens Energy’s gas turbine and grid operations are constrained by the performance of its wind unit, Siemens Gamesa.
In a letter to the company’s board seen by the FT, Ananym wrote that the wind segment continues to weigh on the group’s valuation. “Wind still has a very different and more challenging path ahead of it,” the fund said, adding that the company’s “true value will likely remain obscured for as long as these businesses remain together.”
The FT reported that Ananym is calling for a “strategic review” of Siemens Gamesa, including the possibility of a separation. One person familiar with the fund’s thinking told the newspaper that Ananym believes the wind business could achieve a valuation of about €10 billion within two years if separated.
Siemens Energy, responding to the report, said it welcomed constructive input. “Siemens Energy values constructive input for creating sustainable value for shareholders, employees, customers, and partners,” the company stated. “We addressed the development of our wind business at our recent Capital Markets Day and continue to diligently execute on our plans accordingly.”
