Siemens bids to take over fellow inverter maker Kaco

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It is unclear what ramifications Siemens’ planned takeover of German peer and fellow PV inverter maker Kaco will have on the former’s manufacturing operations in India, after details of the planned acquisition emerged on our German sister site this afternoon.

German industrial conglomerate Siemens – which resumed manufacturing of central inverters in India in December 2017 – has confirmed it is planning to acquire Kaco New Energy GmbH, without providing details of the value of what would be a major acquisition.

The proposed transaction would include Kaco’s inverter business but would leave out the German manufacturer’s project development and engineering, procurement and construction arms. Germany’s antitrust authorities will examine the proposed deal, which Siemens said it expects to conclude by July.

Kaco disposed of its central inverter manufacturing operation last month, announcing at the time that it was selling the unit to South Korean developer OCI Power so it could focus on string inverters and energy storage. However, that disposal would appear to have removed significant overlap with Siemens’ Indian operation as well as boosting Kaco’s cash balances, making it a more attractive target.

Kaco’s inverter portfolio ranges from small residential applications to large-scale PV power plant products. The Neckarsulm-based inverter maker has a strong focus on string inverters for PV and storage applications, with capacities of up to 1,500 V and cutting edge semiconductor technology. Kaco also has silicon carbide-based inverters considered next-gen technology.

Boosting Siemens’ inverter knowhow

“We are pleased to have found a buyer, with Siemens, in which we see our technological knowhow excellently reflected,” said Kaco managing partner Ralf Hofmann. “Embedded in a strong group of companies, Kaco New Energy is well prepared for the challenges of the coming years.”

For Siemens, the acquisition would provide access to the latest technologies, as board member Cedrik Neike explained, adding Kaco’s complementary power electronics portfolio would enable it to extend its technological leadership in high-growth business areas such as distributed energy systems.

The acquisition would also open up new segments at the interface of the electricity grid with buildings.

Siemens announced its entry into the PV home storage market only days ago, with products already for sale in Germany and planned for launch in Austria soon. The price for the entry-level model is just under €5,000, as product manager Stefan Bucher told pv magazine.

Max Hall contributed to this report.

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