Rumors of bidding war for Invensys abound

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Rumors of a possible bidding war for the acquisition of Invensys Operations Management abound. This followed the announcement of Schneider Electric of its bid of about US$5 billion for Invensys. Schneider Electric has to decide whether to push through with the offer or not until August 8, in accordance with UK rules.

According to Konkana Khaund of Frost & Sullivan, "The recent announcement of a possible takeover of Invensys by Schneider Electric could lead to some significant implication on competitive strategy maximization and diversification for Schneider Electric."

In addition Khaund said, "Finally, the company's underlying interest in lighting and energy/temperature controls, an area that has been in focus through targeted acquisitions, but not fully maximised to its potential, could be a major winner. The market share line up of this segment that Schneider Electric has conspicuously remained out of, but one that is fiercely dominated by some of the company's major competitors, could witness some healthy competitive reorganisation."

Tags
Rumors, Acquisition, Schneider Electric

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