Schneider Electric has agreed to acquire US industrial software company PTC for $23.7 billion, combining its automation and energy technology businesses with software spanning product design, engineering and lifecycle management.
The all-cash deal values PTC’s equity at about $22.6 billion and will see its shareholders receive $205 a share, a 42.3% premium to PTC’s closing price before the announcement.
The acquisition is Schneider Electric’s largest to date and extends its industrial software strategy further upstream, from the operation and maintenance of industrial assets into product design and engineering.
PTC’s software includes computer-aided design (CAD), product lifecycle management (PLM), application lifecycle management and service lifecycle management. The company has more than 30,000 customers and generated €2.4 billion in revenue in 2025.
Schneider Electric said the combination would create an industrial software portfolio spanning the lifecycle of products and assets, from design and manufacturing through to operation and maintenance.
“The acquisition of PTC represents an important step forward in our ambition to lead the new era of Energy and Industrial Intelligence,” said Olivier Blum, Chief Executive Officer of Schneider Electric. “By connecting and contextualizing data across the lifecycle of products and assets, we will create a unique digital thread for the next generation of Industrial AI, helping customers to optimise their systems with greater intelligence from design and build to operate and maintain,” he said.
The deal follows Schneider Electric’s acquisition of industrial software group AVEVA and its proposed acquisition of industrial data and AI company Cognite. Schneider said PTC would add product and engineering data to the process and energy data already covered by its software portfolio.
The combined business would have more than 15,000 software employees and serve more than 50,000 software customers, with software and services expected to account for about 24% of Schneider Electric’s group revenue on a pro forma basis.
The companies are positioning the combination around the growing use of AI in industrial systems, where product, engineering and operational data need to be connected before AI systems can be used reliably across the asset lifecycle.
PTC President and CEO Neil Barua said the acquisition would give the company greater scale to expand its software business.
“Joining Schneider Electric is an incredible opportunity to elevate the scope and impact of what we deliver for our customers globally,” said Barua. “We gain substantial scale and resources to accelerate innovation, advance our Intelligent Product Lifecycle vision, and expand our business into more geographies and end markets to serve more customers,” he said.
Schneider Electric expects the transaction to generate €250 million in annual cost synergies by its third year and about €800m in revenue synergies, largely through cross-selling and expanded access to customers and markets.
The transaction has been unanimously approved by the boards of both companies. It remains subject to approval by PTC shareholders and regulatory authorities, with completion expected by the third quarter of 2027.
Schneider Electric will finance the transaction through a combination of new debt and an equity issuance of about €5bn–€6bn. It expects to maintain an A-category credit rating.
The acquisition comes as industrial technology companies increasingly seek to connect engineering, operational and energy data across the lifecycle of physical assets, with AI adding pressure on manufacturers to establish more unified data architectures.
