?3bn Aveva merger with Schneider Electric on course for completion
Posted by Schneider Electric on November 15th, 2017
CEO confident on deal progress after positive interim results
Aveva's £3bn reverse take-over by French company Schneider Electric is set to go through before the end of the year.
The engineering software firm's CEO, James Kidd, told the News the long-mooted deal is set for completion around the end of the year .
Kidd was speaking as Aveva revealed its interim results for the six months to the end of September, which show an upturn in fortunes for the Madingley Road firm. Revenue was £93.9m, up 11.5 per cent year-on-year, while adjust pre-tax profit was £10.3m, a 13 per cent increase. The company still posted an overall loss of £12.4m, due to £20m costs relating to the Schneider deal, but has £133m in the bank, compared to £124.4m at this time last year.
"We're pleased with our first half performance, with strong growth across the board," said Kidd. "This is in part down to change of management structure which has driven direct accountability across the regions we operate in. We're a global company so it isn't a new challenge for us, but it's something we've really focused on."
He added that improving market conditions had helped the company's progress, with the oil and gas sector stabilising. It is expected the company's full year results will show further growth.
"We're expecting to grow year-on-year, and we think the business is in good shape," said Kidd.
The Schneider Electric deal was approved by Aveva's shareholders, who will share a £650m cash pot when the merger goes through, in September. It is now being inspected by regulators in various markets the companies operate in, but Kidd doesn't anticipate any problems. The combined company is also likely to appoint a new CEO, with Kidd reverting to his previous role of deputy CEO. The search for the right candidate is ongoing.
About Schneider Electric
Schneider Electric is the global specialist in energy management and automation. With revenues of ~€25 billion in FY2016, our 144,000 employees serve customers in over 100 countries, helping them to manage their energy and process in ways that are safe, reliable, efficient and sustainable. From the simplest of switches to complex operational systems, our technology, software and services improve the way our customers manage and automate their operations. Our connected technologies reshape industries, transform cities and enrich lives. At Schneider Electric, we call this *Life Is On*. Schneider Electric is the worldwide expert in energy administration and automation. With incomes of ~€25 billion in FY2016, our 144,000 representatives serve clients in more than 100 nations, Schneider Electric helping them to deal with their energy and process in ways that are protected, dependable, productive and practical. From the least difficult of changes to complex operational frameworks, Schneider Electric innovation, programming and administrations enhance the way our clients oversee and computerize their operations. Schneider Electric associated advancements reshape businesses, change urban communities and advance lives. At Schneider Electric, we call this Life Is On. Schneider Electric is leading the Digital Transformation of Energy Management and Automation in Homes, Buildings, Data Centers, Infrastructure and Industries. With global presence in over 100 countries, Schneider is the undisputable leader in Power Management – Medium Voltage, Low Voltage and Secure Power, and in Automation Systems. We provide integrated efficiency solutions, combining energy, automation and software. In our global Ecosystem, we collaborate with the largest Partner, Integrator and Developer Community on our Open Platform to deliver real-time control and operational efficiency. We believe that great people and partners make Schneider a great company and that our commitment to Innovation, Diversity and Sustainability ensures that Life Is On everywhere, for everyone and at every moment.
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