French multinational Schneider Electric on Tuesday announced that it will acquire Singapore-based Temasek’s remaining 35 per cent stake in Schneider Electric India Private Limited (SEIPL) for an all-cash consideration of 5.5 billion euros. This will take Schneider Electric’s holding in SEIPL to 100 per cent.
In its official filing, Schneider called the move “the logical next step” in its long-term strategic focus on India, a country it describes as an “attractive domestic growth market” and a key part of its global multi-hub strategy.
“India is a key focus market”: CEO Olivier Blum
Olivier Blum, CEO of Schneider Electric, said the company is betting big on India’s future. “India is one of the key focus markets of Schneider Electric for the years to come, and I am very excited by the prospect to capture the full growth potential of this unique opportunity,” he said.
The company plans to scale up its R&D and supply chain platforms in India to serve the region and other emerging markets. The full ownership of SEIPL will also support faster decision-making and integration across business verticals.
Temasek exits after creating long-term value
Temasek, which had held the stake since jointly acquiring L&T’s electrical and automation business alongside Schneider, said the partnership delivered long-term value. “We have been privileged to journey alongside Schneider Electric India Private Limited and we look forward to seeing them grow as a leading franchise in India,” said Chia Song Hwee, Deputy CEO of Temasek.
Growth outlook and India expansion plans
Schneider Electric said it expects double-digit CAGR organic sales growth for SEIPL in the coming years. It also plans to expand its capacity in India by 2.5x to 3x, tapping into the growing demand in digitalisation, electrification, and industrial automation.
In FY25, SEIPL clocked €1.8 billion in revenue (including exports) and €2.5 billion in total India sales across all subsidiaries. The French major is looking to leverage India further as a base for the Asia Pacific region and other emerging economies.
Regulatory nod awaited
The transaction is subject to regulatory approval from the Competition Commission of India (CCI) and is expected to be completed in the coming quarters.
Background
Before this deal, Schneider Electric held a 65 per cent stake in SEIPL, while Temasek held the rest since their joint acquisition of L&T’s electrical and automation business in 2020. Temasek had been evaluating an exit since 2024, as per earlier reports.
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