MADRIDFRANKFURT Reuters Spain39;s stock market regulator suspended trading of shares in Siemens Gamesa on Tuesday after local newspaper Expansion reported that Siemens AG had hired banks to conduct a strategic review of the wind turbine maker.
Citing anonymous financial sources, the Spanish newspaper said Siemens AG had hired Morgan Stanley to review options including a possible takeover and delisting of Siemens Gamesa.
Expansion said Siemens AG had hired the bank through Siemens Energy, which owns 67 of Siemens Gamesa. The conglomerate holds 35 of Siemens Energy, and another 10 via its pension fund.
Siemens has also hired Deutsche Bank to give an independent valuation, the paper said.
Based on current market value, the 33 stake Siemens Energy not yet owns in Siemens Gamesa is worth 5.7 billion euros 6.96 billion.
Shares in Siemens Energy rose as much as 4 on the news, while Frankfurtlisted shares of Siemens Gamesa were up 3.5 at 1140 GMT.
Spokesmen for Siemens, Siemens Energy and Siemens Gamesa declined to comment. Morgan Stanley and Deutsche Bank did not return emails seeking comment.
We would prefer a selldown to a buyout, with a reduction in the stake to 501 to fund investment in areas such as hydrogen, analysts at Citi wrote.
Siemens Energy Chief Executive Christian Bruch said earlier this month it was too early to talk about buying out the rest of Siemens Gamesa, but that this would become an issue at some point.
A full takeover would allow the parent to…