Does Siemens Belong in Your Portfolio?
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Siemens is an integrated technology company with activities in the fields of industry, energy, and health care. Siemens operates in six segments: industry, energy, health care, equity investments, Siemens IT solutions and services, and Siemens financial services. The company has equity investments in telecommunications infrastructure and household appliance companies as well as in a company that provides open communications, network, and security solutions.
Engineering giants Siemens of Germany and Mitsubishi Heavy Industries of Japan reacted quickly to General Electric’s (NYSE:GE) sweetened bid for France’s Alstom SA, raising their own combined offer by more than 1 billion euros (dollars.) The two companies said in a statement Friday they were raising their cash offer by 1.2 billion euros ($1.63 billion) to 8.2 billion euros, which increases their overall valuation of Alstom’s energy business by 400 million euros to 14.6 billion euros. Siemens hopes to acquire Alstom’s gas business entirely, while Mitsubishi would take a 10 percent stake in Alstom under their proposal. GE, meantime, has bid 12.35 billion ($17 billion) for Alstom’s entire power business. On Thursday, it added new guarantees on sensitive concerns over jobs and decision-making, while leaving the cash value unchanged.