The Executive Board and Supervisory Board of Siemens AG have approved the sale of Innomotics, a manufacturer of electric motors and large drives, to KPS Capital Partners LP (“KPS”). The contracting parties have signed a corresponding agreement. The purchase price (enterprise value) is 3.5 billion euros. The sale to KPS is expected to be completed in the first half of fiscal 2025, subject to customary foreign investment and merger control approvals.

In November 2022, Siemens decided to bring its large drives and electric motors businesses together under one roof and to set them up independently outside of Siemens AG's core business. Since then, the spin-off has been successfully implemented as planned. Since this agreement, which is beneficial for all parties involved, provides even quicker clarity for a successful future, Siemens has decided not to press ahead with the preparations for an IPO of Innomotics announced in November 2023.