Innomotics for sale. Who will buy the motor manufacturing giant?

Category: Maintenance News, News

In 2022, Siemens announced its intention to spin off its motor division, large drive division, and several other related divisions into a separate entity named Innomotics.

At the end of November last year, Siemens took a step further, somewhat unnoticed, and declared in a press release that it is preparing Innomotics for sale and actively seeking a buyer.

The sale of Innomotics would be another example of significant merger and acquisition activity in the low-voltage motor market. In 2022, Siemens announced the sale of its NEMA division to ABB. A year later, WEG announced the acquisition of the industrial motor division of Regal Rexnord.

Although these acquisitions were significant, they pale in comparison to the scale of the Innomotics sale. As the third-largest player in the low-voltage AC motor market, the unit has estimated total revenues of around 3 billion euros and employs over 15,000 employees.

Analyzing potential buyers, key candidates emerge as well-known motor suppliers such as ABB, WEG, Nidec, or Wolong. Each of these companies would benefit from increasing market share and expanding production capacity. However, uncertainties exist regarding the approval of such acquisitions by the European Commission in the EU.

Siemens is also considering the possibility of conducting a public offering for Innomotics.

The future of the low-voltage AC motor market is poised for significant changes. Regardless of who ultimately acquires Innomotics, we can expect to soon find out who is ready to take over this motor giant.

In the latest analysis by Vanessa Lopez, an analyst from Interact Analysis, the purchasing situation is explored, highlighting potential buyers for the company in her article: “Innomotics: Who will purchase this motor giant?”

Photo author: BR24/Andreas Schuster

Photo author: BR24/Andreas Schuster