**Schneider Electric Considers Full Acquisition of Indian Venture**
Schneider Electric SE is exploring the possibility of acquiring the remaining 35% stake in its Indian venture from minority partner Temasek Holdings Pte. The discussions are centered around a buyout valued at approximately $1 billion, which would elevate the total valuation of Schneider Electric India Pvt to around $5 billion, including debt. Sources familiar with the negotiations, who requested anonymity due to the confidential nature of the talks, indicated that discussions are still ongoing and no final decisions have been reached.
Temasek has been contemplating an exit from the joint venture, which could involve selling its stake to Schneider or another entity, or potentially pursuing an initial public offering, as reported previously. Currently, Schneider Electric India is predominantly owned by Schneider Electric, which holds a 65% stake, while Temasek retains the remaining 35%. This ownership structure was established following the merger of Schneider’s Indian low voltage and industrial automation unit with Larsen & Toubro Ltd.’s electrical and automation operations in 2020.
Schneider Electric, a prominent industrial company in France, has transitioned from being primarily a manufacturer of electrical equipment to a comprehensive provider of software and solutions for buildings, data centers, and factories. The surge in deal-making activity in India reflects a growing interest among investors to strengthen their presence in the country, which has seen merger and acquisition volumes reach $31 billion, marking a 16% increase from the previous year.
As the situation develops, the market will be watching closely to see how Schneider Electric’s potential acquisition unfolds and what it means for the future of its operations in India.
**FAQ**
*What is Schneider Electric planning regarding its Indian venture?*
Schneider Electric is in discussions to acquire the remaining 35% stake in its Indian venture from Temasek Holdings, potentially valuing the entire venture at around $5 billion.
