"Deal with Larsen & Toubro (L&T) is strategically important for our global footprint," said Anil Chaudhry, Managing Director and Zone President of Schneider Electric India.

"By combining the business of electric and automation together with our low voltage and industrial automation products business, we will be creating a strong business in India, which is strategic not only for our stakeholders in India but it plays a strategic importance in our global footprint,” he said.

He further said India will become the third largest country in terms of revenue for Schneider Electric at par with France.

"Temasek is our strategic partner for the deal. They are also equally committed for new economies and especially with respect to India as a country,” said Chaudhry.

L&T agreed to sell its electrical and automation business to Schneider Electric for $2.11 billion in cash.

The deal, part of L&T's plan to sell its non-core units, covers all segments of its electrical and automation business except marine switchgear and servowatch systems.

The electrical and automation (E&A) business, which has factories in India as well as in Saudi Arabia, the United Arab Emirates, Kuwait, Malaysia, Indonesia and the United Kingdom, had a net revenue of about 4.5% of L&T's consolidated revenue, for the year to March 2017.

First Published:May 1, 2018 7:41 PM IST