Islamabad October 14 2024: Siemens (Pakistan) Engineering is decided to sold its energy business segment to Siemens Gamesa Renewable Energy for consideration of PKR 17.8 billion, according to company filing to the exchange.
In line with the Spin-off of the Energy Business by Siemens AG (Parent Company) in 2020, pursuant to an in-principle approval of the Board of Directors (the Board) in their meeting held on March 10, 2023 and communicated to the members; and taking into consideration the independent fairness opinion rendered by a global audit and consulting firm, the Board has approved with majority in its meeting held on October 11, 2024 the sale and transfer of the Company’s Energy Business Segment (hereinafter referred as the ‘Energy Business’) on a going concern basis to a non-affiliated Siemens Energy Group Entity i.e. Siemens Gamesa Renewable Energy (Private) Limited(the buyer) for an aggregate consideration of approximately PKR 17.82 billion as at the valuation date i.e. March 31, 2024. The net book value of Energy Business as at valuation date was approximately PKR 17.61 billion.
The determination of cash to be received from the buyer and gain / loss on the transaction is subject to computation based on net book value as of Effective Date (i.e. Transaction Closure Date) and certain other contractual subsequent events in accordance with the terms and conditions of the agreement to be executed with the buyer. The closure of the transaction shall remain subject to Shareholders’ and other regulatory approvals.
