Siemens Gamesa to acquire selected assets of Senvion
Source | Siemens Gamesa
Siemens Gamesa Renewable Energy (SGRE, Zamudio, Spain) has announced that it has reached an agreement to acquire selected European assets of wind turbine manufacturer Senvion Group (Hamburg, Germany) for €200 million (more than $220 million USD).
The assets included in the transaction are a large part of the European Onshore Service Business of Senvion Group, as well as all associated assets and operations to provide full service, all the intellectual property of Senvion, and the company’s onshore blade manufacturing facility in Vagos, Portugal.
As part of the acquisition, Siemens Gamesa will acquire a service fleet of 8.9 gigawatts from Senvion, which will bring SGRE to a total of nearly 69 gigawatts under maintenance. The addition of these assets is said to help diversify Siemens Gamesa’s business mix and geographical exposure with contracts that offer long-term visibility and renewal rates that have historically been high.
SGRE says that its acquisition of the onshore blade manufacturing plant in Portugal will help to strengthen its industrial value chain and reduce dependency on supplier sourcing from Asia. The company also says the highly competitive facility is complementary to existing SGRE blade capacity, has a best-in-class operational features and will help to support international sales.
The intellectual property of Senvion allows Siemens Gamesa to further enhance its technology portfolio for future Siemens Gamesa development.
“This transaction is an important step forward for Siemens Gamesa,” says Markus Tacke, CEO. “Bringing Senvion’s service assets on board will help us to drive growth in a key market segment and add important capacity in Germany and other important European markets, while the blade factory helps us mitigate the risk in the difficult trade environment. We’re bringing good people and good business into the company and that´s a win for all parties.”
As part of the acquisition, approximately 2,000 Senvion employees are expected to join Siemens Gamesa.
Subject to obtaining the necessary regulatory approvals and achieving other closing conditions, Siemens Gamesa expects to close the respective acquisition of assets in the first half of the fiscal year 2020.
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