Schneider Electric's acquisition of Invensys seen as positive and potentially industry-changing

Since finalising the Invensys acquisition, Schneider Electric is moving the business plan from the boardroom to the marketplace. Already a discrete-manufacturing leader, Schneider’s acquisition of Invensys allows the company to bring a process-heavy portfolio into its fold. Schneider Electric can now offer products across the entire manufacturing spectrum.

Clemens Blum, executive vice president of industry business, sees the transition as transformative. “This deal is really unique when you look at the history of the automation market,” he said in an interview. “Our combined capabilities really have the chance to change the industrial landscape.”

Entering the process industry is not the challenge, Blum said. When businesses enter a new marketplace, they must find their footing - build a foundation. “With Invensys, we can leapfrog that,” he said. “We get a significantly strong organisation with strong execution capabilities all over the world.” The acquisition also allows Schneider to enter the emerging oil and gas markets in North America.

“This deal is extremely complementary with very little overlap,” Blum said. “When you look at the combined portfolio of both companies, from the automation layer to the control layer, with the low-voltage and medium-voltage offerings, very few suppliers will be able to provide this breadth and width of offerings.”

While Schneider Electric does not plan to employ the Invensys brand name, it will preserve its product line nomenclature, such as Wonderware, Triconix and Foxboro. “We acquired really strong brands, and we understand pretty well the value behind those brands,” Blum said.

Source: Control Engineering