Yageo Corporation (TWSE:2327) entered into a binding commitment to acquire Telemecanique, France from Schneider Electric S.E. (ENXTPA:SU) for approximately €686 million on October 27, 2022. The proposed transaction values Telemecanique Sensors' business at an enterprise value of €723 million. The deal will be financed entirely through existing cash.

Telemecanique generated around €280 million in revenue in 2021. The proposed transaction was approved by relevant governance bodies from both parties. The deal is subject to the receipt of required regulatory approvals and is expected to close in the coming months.

The appropriate employee representative bodies of Schneider Electric will be informed and consulted on the contemplated carve-out of Telemecanique Sensors business and subsequent sale, in accordance with the legislation of the countries concerned. BNP Paribas SA (ENXTPA:BNP) acted as the financial advisor to Yageo Corporation. Arnaud Mourier, François Pierson, Jean-Christophe Teore-Boraschi and Stéphane Epiney of Deloitte Société d'Avocats advised Schneider Electric.

UBS Group AG (SWX:UBSG) acted as financial advisor to Schneider Electric S.E. The transaction is expected to close in 2H23.