Siemens to Deconsolidate Healthineers

Siemens announced its intention to deconsolidate its remaining stake in Healthineers, which is currently at around 67%. The company plans to transfer 30% of Siemens Healthineers shares to the group shareholders by way of a direct spin-off as the preferred option.

Shareholders will benefit directly and receive shares in Healthineers. At the same time, the deconsolidation will provide potential to unlock long-term value for Siemens shareholders as a more focused technology company with a highly synergistic portfolio.

The company plans to reduce its stake in Healthineers to a significant minority to allow greater capital allocation flexibility. Thereby, Siemens also continues to participate in the attractive business of Healthineers as a minority shareholder. In the medium term, it is targeted to reduce the shareholding to a financial asset.

“Today marks the beginning of the next stage of growth for Siemens. By giving up the controlling majority in Siemens Healthineers, we are focusing on a highly synergistic portfolio,” said Roland Busch, President and CEO of Siemens. “This is a logical next step in executing our strategy of combining the real and the digital worlds, focusing on accelerated profitable growth of our digital businesses, connected and software-defined hardware, and industrial AI.”

“Each of the two companies has a strong financial profile offering strategic flexibility to accelerate value creation in their respective core markets through tailored capital allocation, enabling both organizations to operate with greater agility and focus. For Siemens, the deconsolidation gives additional leeway, increases transparency while reducing complexity for the capital market, and simplifies governance structures. At the same time, the way of spin-off is a market-friendly transfer of shares,” said Ralf P. Thomas, Siemens CFO.