Schneider Electric to buy US software firm PTC for $205 a share, about $22.6 billion
Schneider Electric agreed on 5 October to buy PTC, the US maker of product-design and lifecycle software, for $205 a share in cash. The deal values the equity at about $22.6 billion and the enterprise value at $23.7 billion, a 42.3% premium to PTC's last close. Both boards approved it unanimously. Completion needs PTC shareholder approval and regulatory clearances and is expected by the third quarter of 2027. Schneider plans to fund it with about €5 billion to €6 billion of new equity and €16 billion to €17 billion of senior debt. It is Schneider's largest acquisition, topping the $11 billion Aveva purchase in 2023. Schneider's shares fell by nearly 10% on the day, while PTC's rose by about 36% before the US open.
The market reaction is the story: investors punished the buyer for paying a large premium and taking on debt. The deal also shows the push by industrial groups to own the software that designs and runs factories.
Few UK consequences directly. UK pension funds that hold European industrials may see a lower Schneider share price on Monday 5 October.
A 10% fall for the buyer on day one is a verdict. Watch whether Schneider's credit rating comes under review and whether a rival bidder for PTC appears.
DailyDrop U.K. edition No. 1 · Morning · MON., OCT. 5, 2026