- Schneider Electric announced a bid for Shelly Group in a deal valued at $1.4 billion.
- The two companies have entered an investment agreement in connection with a 70-euro-a-share offer.
- Shelly's board of directors took the preliminary view that the takeover offer by Schneider Electric would be in the interests of the company.
Schneider Electric has announced plans to acquire Shelly Group for approximately €1.2 billion ($1.37 billion), with a 70-euro-a-share offer that has received preliminary backing from Shelly's board. This acquisition aligns with Schneider's strategy to expand its portfolio in the smart-device market.123
The investment agreement indicates a strong commitment from both companies, as Shelly's board believes the offer is in the company's best interests. Shelly Group shares closed at €64.40 on Wednesday, suggesting a positive market response to the news. The acquisition is expected to enhance Schneider Electric's capabilities in smart home technology, a rapidly growing sector.
This move comes as part of Schneider's broader strategy to strengthen its position in the smart-device industry, which has seen significant growth in recent years. The deal is anticipated to close pending regulatory approvals and final agreements, marking a significant step for both companies in the evolving tech landscape.
“The 70-euro-a-share offer values Shelly at 1.2 billion euros, with the two companies having entered an investment agreement. Shelly's board preliminarily views the takeover as in the company's interests, signaling likely approval ahead of a shareholder vote.”
wsj.com
