German conglomerate Siemens Aktiengesellschaft on Tuesday sold shares worth over Rs 8,500 crore in its listed Indian subsidiary Siemens Ltd, amounting to about 24 per cent stake, to another group firm Siemens Gas and Power Holding BV.

Siemens Aktiengesellschaft is the parent company of Siemens Ltd, which is listed in India.

While there was no official word from the company, reports suggested that Siemens AG was in the process of carving out its gas and power business, which had dragged its overall performance, into a separate subsidiary.

According to the block deal data available on the BSE, Siemens Aktiengesellschaft sold 8,54,68,862 shares of Siemens Ltd at an average price of Rs 996.9 apiece.

At this price, the transaction is valued at Rs 8,520 crore and the shares sold in the block deal amount to about 24 per cent stake.

As of March 2020, Siemens AG held 71.70 per cent stake in Siemens Ltd, while another group firm held 3.3 per cent stake, taking the total promoter stake to 75 per cent.

Shares of Siemens Ltd on Tuesday closed 2.53 per cent higher at Rs 1,022.10 on the BSE.

First Published:May 19, 2020 11:47 PM IST