Schneider Electric to buy PTC for $22.6 billion in its biggest deal ever
France's Schneider Electric agreed Monday to buy Boston-based software maker PTC for about $22.6 billion in cash to grow its AI and data-center business. PTC shares jumped more than 30% before the U.S. open, while Schneider fell nearly 10% in Paris.
AI-assisted · US Brief desk · Sources listed below
What happened
France's Schneider Electric agreed Monday to buy U.S. software maker PTC for about $22.6 billion in cash, Reuters reported. It is the biggest deal in Schneider's history.
The terms: Schneider will pay $205 a share, a 42.3% premium to PTC's last close. Including debt, the deal values PTC at about $23.7 billion. Schneider plans to pay with €5 billion to €6 billion in new shares and €16 billion to €17 billion in new debt. It expects to close by the third quarter of 2027, pending approvals.
Why Schneider wants PTC: Schneider, once known for fuses and circuit breakers, now supplies cooling units, server racks and power gear for data centers. Boston-based PTC makes software that companies use to design, build and service products. CEO Olivier Blum said PTC's engineering data would help Schneider use AI across customers' factories. "Data is becoming a very critical layer," he said.
Why it matters
The deal shows how the data-center boom is pushing industrial giants to pay up for AI software. It is one of Europe's biggest deals this year, according to LSEG data.
What’s next
PTC shareholders and regulators must approve the deal.
More context
Market reaction: Schneider shares fell nearly 10% in early Paris trading, wiping out about €15 billion ($17 billion) in market value, Reuters said. PTC shares rose 34% to 37% in U.S. premarket trading, according to Reuters reports at different times.
Two views: "AI disruption fears are still weighing on software valuations," Jefferies said, which lets Schneider buy PTC cheaply but could weigh on its own shares. Berenberg analyst Nay Soe Naing told Reuters the price was healthy given how far software stocks have fallen.
What Schneider expects: About €250 million a year in cost savings by the third year after closing, and about €800 million in added sales. Software subscriptions would grow to about 24% of group revenue.
3 listed sources
- Reuters via CNA, Oct 5, 2026: Schneider Electric to buy US software firm PTC in $22.6 billion deal
- Reuters via LSE.co.uk, Oct 5, 2026: US STOCKS-Wall St futures dip as tech stocks take a breather
- Sourcing note: Wire coverage (Reuters). Analyst views from Jefferies and Berenberg as quoted by Reuters.
References listed by US Brief; a source count is not a verification score.
Editorial sourcing notes
Deal terms are from Reuters' report of Schneider's announcement. Share moves are early-session snapshots and will change. The deal still needs PTC shareholder and regulatory approval.
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