Business Divestment
Siemens Completes ₹2,200 Crore Sale of Low Voltage Motors Business to Innomotics India
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Siemens Limited has successfully completed the sale and transfer of its Low Voltage Motors and Geared Motors businesses to Innomotics India Private Limited on a slump sale basis. The transaction has been completed for a cash consideration of ₹2,200 crore enterprise value and marks the closure of a previously announced business divestment.
PRICE-SENSITIVE TRIGGER
Event: Completion of Sale of Low Voltage Motors Business
Type: Business Divestment / Slump Sale Closure
Impact: Positive
Immediate Effect: The transaction has been formally completed, resulting in the transfer of the Low Voltage Motors and Geared Motors businesses to Innomotics India. Siemens receives the agreed consideration and completes the strategic portfolio realignment.
Key Metrics:
- Enterprise Value of Transaction: ₹2,200 crore
- Transaction Structure: Slump Sale
- Consideration Type: Cash Consideration
- Basis of Sale: Cash-free, Debt-free
- Business Transferred: Low Voltage Motors and Geared Motors businesses including related customer service operations
Highlight:
- Siemens completed the divestment at an enterprise value of ₹2,200 crore, representing a significant monetization of a non-core business segment.
What Happened ?
Siemens Limited announced that it has completed the sale and transfer of its Low Voltage Motors and Geared Motors businesses, including associated customer service operations, to Innomotics India Private Limited.
The transaction was executed as a going concern through a slump sale arrangement and was completed on June 1, 2026. The transfer follows the company’s earlier announcements made in December 2025 and February 2026 regarding the proposed divestment.
Key Details
Transaction Completion & Strategic Portfolio Realignment:
- Siemens completed the transfer of the Low Voltage Motors and Geared Motors businesses on June 1, 2026.
- The transaction includes related customer service operations attached to the business.
- Sale executed on a slump sale basis as a going concern.
- Enterprise value of the transaction stands at ₹2,200 crore.
- Transaction completed on a cash-free and debt-free basis.
- Final consideration remains subject to mutually agreed adjustments under the slump sale agreement.
- Innomotics India Private Limited is the acquirer of the business.
- Completion follows regulatory and transaction milestones announced earlier by the company.
Note:
- The transaction represents a strategic portfolio optimization initiative by Siemens, enabling sharper focus on its core technology, industrial automation, infrastructure, digitalization, mobility, and industrial software businesses.
Risk Analysis
Summary:
- The major execution risk related to transaction completion has been eliminated. Remaining risks are largely associated with post-transfer adjustments and transition management between the parties.
Key Risks:
- Final consideration remains subject to agreed post-closing adjustments.
- Transition of customers, employees, systems and service operations must proceed smoothly.
- Any operational disruption during the integration period could affect customer service continuity.
- Siemens will no longer participate in future earnings generated by the divested business.
Worst Case Scenario:
- Unexpected post-closing disputes, transition challenges, or adjustment-related disagreements could delay complete operational separation, though no such issues have been disclosed currently.
Risk Level: Low
Company Commentary
- Siemens confirmed successful completion of the sale and transfer of the Low Voltage Motors and Geared Motors businesses.
- The divestment includes related customer service operations.
- The transaction has been completed in accordance with the slump sale agreement executed in December 2025.
- Siemens continues to position itself as a technology company focused on industry, infrastructure and mobility solutions.
- The company reiterated that the transaction has been concluded on a cash-free and debt-free basis.
Official Exchange Filing: Siemens Limited