Schneider Electric to Buy PTC in $22.6 Billion Deal

France’s Schneider Electric has agreed to acquire U.S. industrial software company PTC in an all-cash transaction valued at approximately $22.6 billion, strengthening its position in industrial technology and digital manufacturing.

Under the agreement announced Monday, Schneider Electric will pay $205 for each PTC share. The offer represents a 42.3% premium to PTC’s closing price of $144.03 before the deal was announced.

Including PTC’s debt and other liabilities, the transaction carries an enterprise value of roughly $23.7 billion. The companies expect the acquisition to close by the third quarter of 2027, subject to customary conditions and regulatory approvals.

PTC develops industrial software used by manufacturers to design, produce and manage physical products. Its technology supports digital product development, engineering information management and product lifecycle tracking.

For Schneider Electric, the acquisition expands an industrial software business that already includes AVEVA and could soon include Cognite, which Schneider is also seeking to acquire. The company said combining these businesses would create a wider technology platform linking product design, engineering, industrial operations and energy data.

The deal comes as Schneider benefits from rising investment in artificial intelligence infrastructure and data centers. Its power management, cooling and other infrastructure products have given the French group significant exposure to the rapid expansion of AI computing capacity.

Schneider expects the PTC acquisition to deliver around €250 million in annual cost savings by the third year following completion. It also forecasts approximately €800 million in revenue synergies. The transaction is expected to provide an immediate low-single-digit boost to adjusted earnings per share, before purchase price accounting, during the first full year of consolidation.

Separately, Schneider Electric is pursuing the acquisition of Bulgarian smart-home equipment company Shelly Group for €70 per share, valuing the business at about €1.27 billion. The offer represents roughly a 4% premium and requires Schneider to secure at least 95% of Shelly’s shares, along with necessary regulatory approvals.