French multinational Schneider Electric has announced plans to acquire the remaining 35% stake in its Indian joint venture from Temasek Holdings for €5.5 billion ($6.4 billion) in cash. With this move, the company will assume full ownership of Schneider Electric India, further reinforcing its strategic commitment to the Indian market.
The acquisition marks a significant step in Schneider’s long-term strategy, as India represents the company’s third-largest market globally. Full control, according to Schneider, will allow for faster decision-making and more agile operations in the region.
“This transaction is the logical next step in Schneider Electric’s strategic investment focus on India — a key domestic growth market and a vital hub in our global multi-hub strategy,” the company said in a statement.
Schneider Electric, a key global player in electrical systems and data center infrastructure, has intensified its India focus in recent years. India is now one of Schneider’s four global hubs, with the company operating 31 factories and an equal number of distribution centers across the country.
This latest acquisition builds on the company’s earlier move in 2020, when it purchased a 65% stake in the Indian business from infrastructure major Larsen & Toubro (L&T) — its largest Indian deal to date.
Looking ahead, Schneider plans to expand its Indian capacity by 2.5 to 3 times and expects the unit to deliver double-digit organic sales growth (CAGR) over the next few years. In 2024, Schneider Electric India recorded €2.5 billion in total sales across its subsidiaries, contributing approximately 7% to the group’s global revenue.
The transaction underscores Schneider’s confidence in India’s growth potential and its role as a cornerstone in the company’s global operations.
