Monday is the record date for the demerger. Shareholders will get one share of Siemens Energy India for every Siemens India share they own (1:1 ratio).
Friday, April 4, was the last day to buy Siemens shares and still be eligible for the demerger.
A spin-off happens when a company separates a part of its business. It then gives shares of the new company to its existing shareholders. This lets shareholders own both companies.
During a special pre-open session, a fixed price for Siemens Energy India was decided. This amount was subtracted from Siemens India’s April 4 closing price of ₹
2,450. The result was used to find Siemens India’s new opening price.
Until Siemens Energy India is listed on the stock exchanges, passive funds will still include the energy unit in NSE and BSE indices for three trading days after listing.
Brokerage firm IIFL Securities expects the new company’s listing to take 60 to 90 days. This matches the timeline shared by Siemens AG, which is around June this year. However, Nuvama expects the listing could happen within a month due to the size of Siemens India.
The demerger was approved by the National Company Law Tribunal on March 26. This move comes nearly five years after Siemens AG spun off its energy business globally in 2020.
Siemens India will now also be the 51st stock in the Nifty Next 50 and other indices from the record date.
Siemens India shares were last trading 37.36% lower at ₹3,087.