Siemens is going to sell its 50 percent stake in the Valeo Siemens eAutomotive joint venture. The German giant has issued a press release to confirm the rumors. Such an update is closely related to a recent post of ours about a joint project between Renault, Valeo and Valeo Siemens eAutomotive, aimed at developing and manufacturing an electric motor which does not employ rare earths. As for the decision taken by Siemens, closing is expected in July 2022.
The Valeo Siemens eAutomotive joint venture dates back to 2016
The aforementioned joint venture was founded in 2016, with Siemens contributing its eCar powertrain systems business including e-motors and power electronics. Valeo and Siemens have achieved the joint target of building a globally recognized player in the field of electric mobility, now providing the right timing for Siemens to transfer its stake in VSeA to its partner. According to Siemens, single ownership has been an intended option of the joint venture for both sides from the beginning and will now support the future development of the business under the sole shareholding of Valeo going forward.
«Together with our partner, we successfully positioned the joint venture as a leader in its market space and have now determined an excellent long-term approach. Single ownership and full integration with Valeo provide very strong prospects for the business, its employees and customers. This also marks another important step to sharpen ourportfolio as a focused technology company», declared Roland Busch, President and CEO of Siemens AG. The positive profit impact of around 300 million Euros will be recorded in the second quarter of fiscal 2022.