Wind turbine makers Gamesa (BME:GAM) and Siemens Wind Power have officially merged today, forming a company with a EUR-21-billion (USD 22.4bn) backlog and EUR 11 billion in pro forma revenues.
The completion of the transaction follows its clearance by the European Commission (EC) last month and today’s registration of the combined company in the Mercantile Registry of Biscay in Spain.
German industrial major Siemens (ETR:SIE) agreed in June 2016 to let Gamesa absorb Siemens Wind Power in exchange for newly-issued Gamesa shares. Siemens is the controlling shareholder of the enlarged firm with a 59% stake, while Spain’s Iberdrola SA (BME:IBE) holds an 8% interest. The rest is free float.
The new Gamesa is based in Zamudio, Spain. Its onshore offices will also be located in Spain, while the offshore headquarters will be in Hamburg, Germany and Vejle, Denmark. The company is present in over 90 countries and has an installed base of about 75 GW. Its adjusted earnings before interest and tax (EBIT) for 2016 are estimated at EUR 1.1 billion.
The combined company will hold its first board of directors meeting on April 4. As agreed in June 2016, about EUR 1 billion (USD 1.07bn) will now be distributed as dividend to Gamesa shareholders. On a per-share basis the sum amounts to EUR 3.60, which is below the announced gross extraordinary dividend of EUR 3.75 apiece to reflect all dividends paid since the execution of the deal.
Siemens confirmed the completion of the merger in a separate statement and also announced the closing of its acquisition of industry software provider Mentor Graphics.
"With the new wind power company, we've created a global market leader in the area of renewable energies. Mentor Graphics will help us further expand our leading role in the digital sector. Both transactions will benefit customers, employees and shareholders," said Siemens president and CEO Joe Kaeser.
(EUR 1.0 = USD 1.066)
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Gamesa employees provide O&M services. Source: Gamesa.
