New Delhi: Siemens, the German based largest engineering company in Europe and Gamesa Corporación Tecnológica of Spain have agreed to merge to form the world’s largest wind power company.
As per the agreement, Siemens will hold 59% of the newly-issued share capital while the existing shareholders of Gamesa will hold 41%.
“Siemens will fund a cash payment of €3.75 per share, which will be distributed to Gamesa's shareholders (excluding Siemens) immediately following the completion of the merger (net of any ordinary dividends paid until completion of the merger),” said a joint statement.
The cash payment represents 26 percent of Gamesa's unaffected share price at market close on January 28, 2016.
The new company is expected to have on a pro forma basis (last twelve months as of March 2016) a 69 GW installed base worldwide, an order backlog of around €20 billion, revenue of €9.3 billion and an adjusted EBIT of €839 million.
The combined company will have its legal domicile and global headquarters in Spain and will remain listed in Spain. The onshore headquarters will be located in Spain, while the offshore headquarters will reside in Hamburg, Germany, and Vejle, Denmark.
The combined business will have a global reach across all important regions, and manufacturing footprints in all continents, said the statement.
Earlier this month, Siemens won an order worth around Rs 113 crore from Power Grid Company of Bangladesh to design, procure, supply, install, test and commission in Dhaka.