Schneider Electric falls after €6 bln share placement

By Reuters News

** Shares in Schneider Electric SCHN.PA fall 4% after the French electrical equipment maker raised €6.0 billion ($6.74 billion) in an accelerated bookbuild (ABB), a fast share sale to institutional investors

** Schneider placed 25 million new shares overnight, without preferential subscription rights for existing shareholders

** The placement was priced at €240 per share, a 4.99% discount to the last close of €252.6

** Net proceeds will partially finance its proposed acquisition of PTC Inc PTC.O, the US software company

** Berenberg says PTC adds to Schneider's software offering, including product and engineering capabilities, but says it is unclear where the €800 million of proposed revenue synergies will come from

** Investor feedback has focused on the synergies, lingering fears that AI could disrupt software businesses, and execution risk from several deals running at once, including PTC, Shelly Group SLYG.BB and Cognite, Berenberg says

($1 = 0.8907 euros)

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.