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TPG Acquires Majority Stake in Siemens Gamesa’s Onshore Wind Business

Global alternative asset management firm TPG has entered into an agreement to acquire a majority stake in Siemens Gamesa Renewable Energy’s wind turbine operations in India and Sri Lanka. The deal is part of Siemens Energy’s broader strategy to enhance profitability in its wind turbine segment by 2026.

The transaction, which remains subject to regulatory approvals and closing conditions, will result in the creation of a new independent company. While financial details were not disclosed, the deal underscores India’s potential as a key market for wind energy expansion.

Siemens Gamesa’s Shift in Strategy

Siemens Energy had put its India wind turbine unit up for sale last year, citing financial losses. The decision to transfer operations aligns with its strategy to streamline business and focus on core markets. As part of the agreement, Siemens Gamesa will retain a minority stake in the new company and provide intellectual property licensing for future technology development.

Approximately 1,000 employees and the manufacturing infrastructure in India will be transitioned to the new entity. The move is expected to offer a long-term perspective for employees and customers, ensuring continued growth in the region.

Investment Backing and Leadership

The acquisition is backed by TPG Rise Climate, a dedicated investment platform focused on scaling sustainable solutions in emerging markets. MAVCO Investments, which includes members of the Murugappa Group family and former JSW Energy CEO Prashant Jain, will also hold a minority stake.

The newly formed company’s board will be chaired by Vellayan Subbiah, an industry veteran recently appointed as a whole-time director at Cholamandalam Investment and Finance Company. Prashant Jain will take on the role of executive vice chairman, while Philip, representing Siemens Gamesa, will serve on the board.

India’s Wind Energy Potential

Industry experts highlight India’s immense potential in the renewable energy sector, particularly in onshore wind power. With TPG’s financial backing and Siemens Gamesa’s expertise in wind technology, the partnership aims to accelerate the deployment of gigawatts of clean energy across India.

Ankur Thadani, Partner and Head of Climate at TPG, emphasized that the collaboration would support India’s transition towards clean energy while catering to diverse socio-economic segments.

Advisors to the Transaction

Several leading financial and legal advisory firms played key roles in facilitating the deal, including Morgan Stanley, Kearney, Deloitte, Alvarez & Marsal, Khaitan & Co., Cyril Amarchand Mangaldas, and Cleary Gottlieb Steen & Hamilton.

With this acquisition, TPG and its partners are set to strengthen India’s wind energy landscape, leveraging both global expertise and local market presence to drive sustainable growth.