One of the most eagerly watched events of recent weeks has undoubtedly been the spin-off of Siemens' energy division. The German technology group is thus following its strategy of spinning off individual business units. Since 28 September, the energy subsidiary of the DAX-listed company has been independent; on this day, Siemens shareholders received one energy share certificate for every two Siemens shares they held.
The now independent Siemens Energy AG took its first steps on its own feet rather weakly. But Siemens Energy actually has all the prerequisites for later success - the new joint-stock company is starting out with a respectable capital stock and sales of around 30 billion euros, and the energy company employs over 90,000 people.
Spin-off and specialisation as Siemens strategy
The spin-off of various business segments is one of the strategies for the reorientation of Siemens that CEO Joe Kaeser has been pushing for years and which is generally viewed positively by analysts and rating agencies. This will reverse what has made the technology giant possible. The traditional corporation was founded as early as 1847 and came into its present form through a merger in 1966. The internationally active DAX-listed company operates branches in most countries worldwide in addition to more than 100 locations in the Federal Republic.
The company is considered one of the most solid stocks in the Exness and has shown a relatively quick recovery even after the shocks caused by the Corona pandemic. The focus of the business is on electrical engineering and electronics solutions. Independent business units in the mobility and health technology sectors have already been spun off as Siemens Healthineers and Siemens Mobility. The spin-offs are also paying off for Siemens. After the share spin-off of the energy subsidiary, the company's share seems to be in an upward trend apart from a short setback, price targets are given as up to 135 euros.
Long-prepared leap into independence
The intention to list the energy and power plant division as an independent company was already announced in May. The spin-off of Siemens Energy was completed on 28 September 2020. For one day, the German benchmark index thus contained 31 stocks at the start of trading. With Siemens Energy AG, the business with turbines, generators and transformers stands on its own feet, as does the manufacture of wind turbines. The Energy subsidiary Gamesa, a Spanish company, is responsible for wind power. Siemens Energy holds 67 % of the shares in Gamesa worth around 10 billion euros; the total market value of the new group is estimated at more than 20 billion euros.