Siemens Energy sells a majority of its Indian wind unit to TPG, a TPG-led investor consortium

Siemens Energy said it will sell 90% its wind turbine business to an investor group headed by the climate investment division of TPG's buyout group. The move is part of a drive to focus on core markets.

No financial details have been disclosed.

Following the news, shares of Siemens Energy traded 3% higher by 0832 GMT.

Siemens Energy said that as part of this deal, around 1,000 employees in India and two manufacturing facilities will be transferred to the new entity. It added that around 1,200 local staff members would not be included in the deal.

Siemens Gamesa is Siemens Energy's division for wind turbines. It holds 30% of the market in India, but previously stated that it was evaluating strategic options to grow its business due to intense competition.

"The new company is better positioned to serve the Indian market, while offering long-term perspectives for both employees and customers," said Vinod Phillip, Siemens Energy board member responsible for Siemens Gamesa.

Siemens Gamesa said it has a base of installation of almost 10 gigawatts in India. It also provides service for more than 7 GW turbines that are covered by long-term contracts. The market is expected to grow to 57 GW capacity by 2032. (Reporting and editing by Thomas Seythal, with Christoph Steitz)

(source: Reuters)