Innomotics India Acquires Siemens Motors Unit in ₹2,200 Crore Deal

Siemens Limited has endorsed the sale of its low-voltage and geared motors division to Innomotics India Private Limited at a cost of 2,200 crore.

The sale as a slump transaction dealing on the cash-free, debt-free basis is an indication of radical transformation in industrial-motors sector.

The business that has been transferred incorporates low-voltage AC motors, geared motors, spare parts and other related maintenance services. During 12 months up to September 30, 2025, the segment recorded revenue of 967 crore and operating profit of 35 crore or approximately 6 percent of the total Siemens revenue and approximately 2 percent of its operating profit, without considering the Energy division.

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This action is in accordance with the global structural changes: on October 1, 2024, parent Siemens AG has sold to KPS Capital Partners, LP all its intellectual property and core capabilities, including Innomotics GmbH. As a result, the IP that Siemens Limited required to maintain the motors business was no longer in its possession. The board felt it was strategic to transfer the business to Innomotics India which is already the region arm of Innomotics GmbH.

The acquisition places Innomotics India in the Indian market as being more integrated solution, which incorporates low-voltage motors, geared motors and it is more aligned with design and manufacturing capabilities in the world market. This may be interpreted as ease of supply chain operations and consolidated after-sale services to customers in manufacturing, water treatment, infrastructure, and other industrial heavy-duty markets under one brand.

In the case of Siemens, the divestment helps the company to bring into focus the core areas in which they are dealing with infrastructure, mobility and smart-technology solutions. With the company reshaping its structure on an international level and balancing its portfolio, the sale may allow the company to invest in other areas with high growth potential, which will provide long-term strategic significance.