Gamesa, Siemens merger gets investors approval; deal to close by Q1 end

GAMESA

With Gamesa shareholders approving the company’s merger with Siemens’ wind assets, the deal is likely to be complete at the end of the first quarter of 2017.

In an extraordinary meeting of the shareholders held in Spain, 99.75 percent of the share capital approved the deal, making the combined entity to a €10 billion company, one of the biggest in renewable energy sector.

The new company will have an installed base of 70 GW, officials at Gamesa said.

Siemens will own majority share (59 percent); Gamesa will hold 41 percent; and the rest 8 percent will be owned by Spanish renewable energy provider Iberdrola.

Commenting on the new development, Ignacio Martín, executive chairman of Gamesa, said He said that the resulting firm would have a “truly global reach, with a presence in all the main wind markets and reinforced industrial capabilities on all five continents.”

The Spanish OEM’s shareholders will also be paid a cash dividend of €3.591 per share following the closing of the merger.

Commenting on the new developments, en approved by Gamesa’s shareholders, the next steps are to secure confirmation from the Spanish securities market regulator (the CNMV) of Siemens’s exemption from having to launch a public takeover bid and then obtain authorisation from the anti-trust authorities.

“The transaction is not just good for Gamesa, it opens up new horizons for all of our stakeholders. By combining these two highly complementary businesses we will achieve greater geographic reach, a broader portfolio of products, services and solutions and more robust financial solidity,” Martin said.

As the next step in the deal, Gamesa will now seek approvals from market regulators and anti-trust authorities.

Rajani Baburajan

editor@greentechlead.com