BUZZ - Schneider Electric's shares plunge after announcing a $22.6 billion acquisition of PTC
路透社2026/10/05 07:46October 5 - Schneider Electric (SCHN.PA) shares fell 8% after announcing a deal to acquire PTC (PTC.O) in an all-cash transaction, valuing the US software company at approximately 22.6 billions USD. Schneider will acquire PTC shares at $205 per share, with the funding raised through a combination of equity and debt issuance. Analysts unanimously agreed that the rationale for the deal is clear, but also pointed out concerns related to artificial intelligence. RBC stated that the deal valuation is reasonable, but it will increase Schneider's exposure to AI-related risks in the pressured industrial software assets sector. Jefferies concurred, noting that these concerns have led to the deal being struck at the lowest valuation in a decade, which may put pressure on the stock once the transaction is completed. “The integration process could be complex, and the market may reassess capital allocation as a result,” RBC added. Baird stated that, as Schneider makes a significant bet on providing infrastructure for data centers, the merger with PTC will create a "giant" in the field of industrial data management. As of the last trading day's close, Schneider Electric's stock price had risen 29% year-to-date. (USD 1 = EUR 0.8938)
October 5 - ** Schneider Electric (SCHN.PA) shares fell 8% following a deal (link) to acquire PTC (PTC.O) in an all-cash transaction, valuing the US software company at approximately $22.6 billion
** Schneider will acquire PTC shares at $205 per share; financing for the deal will be raised through a combination of equity and debt issuance
** Analysts unanimously agree that the rationale for the deal is obvious, but also point out concerns related to artificial intelligence
** Royal Bank of Canada (RBC) stated that the deal's valuation multiples are reasonable, but it will intensify Schneider's exposure to AI-related risks in the pressured industrial software assets sector
** Jefferies agreed: it is these concerns that have led to the deal being struck at the lowest valuation in a decade, which may weigh on the stock price after the transaction is completed
** "The integration process may be more complex, and the market may therefore re-examine capital allocation issues," RBC added
** Baird stated that as Schneider bets big on providing infrastructure for data centers, the merged entity of PTC and Schneider will create a "giant" in the field of industrial data management
** As of the close of the previous trading day, Schneider Electric shares were up 29% year-to-date
(1 US dollar = 0.8938 euro)
(To assist non-English speakers, Reuters has automatically translated its reports into several other languages. Because automated translation may be inaccurate or lack necessary context, Reuters does not guarantee the accuracy of the automated translation, which is provided solely for the convenience of readers. Reuters assumes no responsibility for any damages or losses resulting from the use of the automated translation function.)
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Copper-clad laminate (CCL) upgrades to higher precision packaging substrates
US Dollar: Holds gains as Fed pricing stays firm – ING
BUZZ - Boosted by market sentiment from Bolsonaro’s strong performance, Brazilian ADR prices rise
October 5 – As Brazil's right-wing senator Flávio Bolsonaro outperformed expectations in the first round of the presidential elections on Sunday, shares of Brazilian companies listed in the U.S. rose in pre-market trading (link). Bolsonaro held a narrow lead over the incumbent president Luiz Inácio Lula da Silva, with both set to compete in a runoff on October 25. The senator is the son of right-wing former president Jair Bolsonaro. “Bolsonaro's stronger-than-expected performance, coupled with a rightward shift in Congress, should support Brazil’s benchmark stock index Ibovespa and put downward pressure on long-term yields,” said Andrés Abadía, Chief Latin America Economist at Pantheon Macroeconomics. Shares of state-owned oil company Petrobras (PBR.N) rose 10.4%, while Latin America's largest private bank Itau Unibanco (ITUB.N) climbed 11.2%. Banco Bradesco (BBD.N) increased 10.8%, and aircraft manufacturer Embraer (ERJ.N) gained 6.3%. Brazilian e-commerce and fintech company MercadoLibre (BBD.N) and digital bank Nu Holdings (NU.N) rose 6.8% and 10.4% respectively. The iShares MSCI Brazil ETF (EWZ.P) was up 11.6%. As of the previous trading session, Brazil’s benchmark Bovespa Index (.BVSP) had gained over 19% year-to-date. (For the convenience of non-English speakers, Reuters automates the translation of its reports into several other languages. Automated translations may contain errors or may not provide needed context; Reuters does not guarantee the accuracy of automated translation texts and provides them solely for reader convenience. Reuters accepts no liability for any damage or loss caused by the use of automated translation functions.)
Crypto prices
More
