Siemens Gamesa buys wind turbine assets from Germany’s Senvion

Siemens Gamesa said it had acquired large parts of Senvion’s services business across 13 European countries

Frankfurt am Main: Wind turbine maker Siemens Gamesa said it had completed the 200-million-euro ($220-million) purchase of key assets from insolvent German rival Senvion, part of a deal set to secure some 2,000 jobs.

In a statement late Thursday, Siemens Gamesa said it had acquired large parts of Senvion’s services business across 13 European countries, expanding its geographical reach in a lucrative segment of the wind energy market.

The acquisition also covers Senvion’s intellectual property, while the purchase of Senvion’s Portuguese blade manufacturing factory is in the final stages.

Senvion, which went into administration last April, said in October that the deal with Siemens Gamesa would save the jobs of “60 percent” of its workforce, or around 2,000 positions.

Siemens Gamesa CEO Markus Tacke on Thursday said the asset purchases would improve the Spanish-German firm’s market leading position “at a crucial moment for the wind industry’s growth”.

“The transaction also offers Senvion’s customers a long-term solution for their servicing needs, following Senvion’s insolvency,” Tacke added.

Senvion struggled to stay afloat in the face of strong competition from larger rivals and falling government subsidies for renewable energy projects.

Siemens Gamesa recently warned that the sector as a whole was going through a period of “strong headwinds” as a result of lower energy prices, rising costs and global trade tensions.

Source: energy.economictimes.indiatimes