Siemens to Sell Mail Business to Koerber in $1.31 Billion Deal
(Bloomberg) -- Siemens AG agreed to sell the mail and parcel part of its logistics wing to Koerber AG, the latest step in a push to streamline its portfolio and move more toward software.
The German engineering giant said it agreed to sell the unit to Koerber for 1.15 billion euros ($1.31 billion) in a deal that’s expected to close this calendar year. Hamburg-based Koerber operates a supply-chain technology division into which the unit, which makes equipment to sort letters and parcels, will be integrated.
The sale comes at a time when companies are increasing logistics spending to cope with the sudden surge in online shopping during the pandemic. Staff absences due to coronavirus outbreaks at ports and sorting offices have also led to delivery delays, nudging companies toward automation investments to reduce the chances of future disruption.
The industrial-manufacturing giant has been divesting non-core businesses to better focus on higher-margin, software-driven product lines. The company also agreed to sell its stake in an electric-car components maker to its French joint venture partner Valeo SA, the company said in a separate statement Wednesday.
“We’re continuously sharpening and optimizing our portfolio in order to further strengthen Siemens as a focused technology company,” Chief Executive Officer Roland Busch said in a statement.
Siemens is keeping the part of its logistics division that makes machinery for baggage handling at airports, which have been hit by the slump in travel due to the Covid-19 pandemic, the company said.
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