View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
April 28, 2022

Schneider Electric to sell Russian operations to local management

The company has suspended new investments in and international delivery of project orders to Russia and Belarus.

Understand the impact of the Ukraine conflict from a cross-sector perspective with the GlobalData Executive Briefing: Ukraine Conflict

Free Report
img

Battery energy storage will be the key to energy transition – find out how

The market for battery energy storage is estimated to grow to $10.84bn in 2026. The fall in battery technology prices and the increasing need for grid stability are just two reasons GlobalData have predicted for this growth, with the integration of renewable power holding significant sway over the power market. Over the last decade, various new digital and smart technologies have been integrated, with countries aggressively promoting the modernization of grids, enhancing the grids’ capability to meet present and future requirements. As part of the effort, batteries are being deployed for a wide range of uses. A few such uses include aiding smart grids, integrating renewables, and creating responsive electricity markets. Read this report for expert insights into:
  • Market size and growth
  • Key drivers and restraints
  • Regional trends
  • The impact of the commodity price increase on the battery prices
Get ahead of this growing market and win big by utilizing our report.
by GlobalData
Enter your details here to receive your free Report.

French energy management company Schneider Electric has announced that it is planning to divest its operations in Russia and Belarus to local management.

The company has signed a letter of intent to sell Schneider Electric Russia’s operations to the local leadership team.

The deal’s completion is subject to the approval of local authorities.

Schneider Electric said that the move came after a careful review of the business’ setup and options.

The company currently generates around 2% of its total sales from Russia.

It is estimated that the sale of the assets will result in €300m ($316.2m) of Schneider Electric’s net book value being written off.

The company also expects to make a non-cash reversal of the currency translation reserve associated with these activities, which is currently estimated at €120m.

In a statement, Schneider Electric said: “As a result of the sale and wind-down of its presence in Russia, the company expects to write-off up to €300m of net book value, and to make a non-cash reversal of the currency translation reserve associated with these activities currently estimated at €120m.”

Since February, Schneider Electric has suspended all its new investments and the international delivery of new project orders in Russia and Belarus.

The company said that it is planning an ‘orderly’ transfer for its 3,500 employees in Russia and Belarus, aiming to allocate resources to support them.

Based in Rueil-Malmaison, Schneider Electric supplies energy and automation digital solutions for efficiency and sustainability.

The company combines energy technologies, real-time automation, software and services to serve homes, buildings, data centres, infrastructure and industries.

Earlier this month, wind turbine manufacturer Vestas decided to withdraw completely from Russia over Moscow’s incursion into Ukraine.

The company has suspended commercial activities in the country and plans to halt its four Russian wind farm projects that were being developed at the time of the invasion.

Related Companies

Free Report
img

Battery energy storage will be the key to energy transition – find out how

The market for battery energy storage is estimated to grow to $10.84bn in 2026. The fall in battery technology prices and the increasing need for grid stability are just two reasons GlobalData have predicted for this growth, with the integration of renewable power holding significant sway over the power market. Over the last decade, various new digital and smart technologies have been integrated, with countries aggressively promoting the modernization of grids, enhancing the grids’ capability to meet present and future requirements. As part of the effort, batteries are being deployed for a wide range of uses. A few such uses include aiding smart grids, integrating renewables, and creating responsive electricity markets. Read this report for expert insights into:
  • Market size and growth
  • Key drivers and restraints
  • Regional trends
  • The impact of the commodity price increase on the battery prices
Get ahead of this growing market and win big by utilizing our report.
by GlobalData
Enter your details here to receive your free Report.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Wednesday. The power industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Power Technology