Schneider Electric to acquire US-based PTC for $22.6 billion, betting on industrial software and AI

The deal between Schneider Electric and PTC will be financed through $5–6 billion in newly issued shares and $16–17 billion in new debt. Schneider Electric plans to increase the share of software-as-a-service (SaaS) revenue to approximately 24% of its total revenue. The transaction is expected to close in the third quarter of 2027, subject to regulatory approvals and shareholder approval, Schneider Electric Bulgaria announced.

The acquisition, the largest in Schneider Electric’s history, is part of the company’s strategy to expand its presence in industrial software and artificial intelligence (AI), while capitalising on rapidly growing demand for data centre infrastructure. PTC specialises in software for product design, manufacturing and product lifecycle management (PLM). Schneider Electric expects the acquisition to strengthen its ability to embed AI into its customers’ industrial operations.

The French company is offering $205 per share, representing a 42.3% premium over PTC’s closing share price on 2 October this year.

Schneider Electric expects the deal to generate annual cost savings of up to $250 million by the third year following completion, along with approximately $800 million in revenue synergies. The transaction is scheduled to close in the third quarter of 2027.

The acquisition comes just months after Schneider Electric agreed to acquire Cognite, a company specialising in AI and industrial data. Through these two strategic moves, Schneider Electric is accelerating its transformation from a traditional electrical equipment manufacturer into a provider of infrastructure, software and AI solutions for industry and data centres.

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