Schneider Electric Nears $20 Billion Acquisition of US Software Group PTC

France-based Schneider Electric is nearing a $20 billion deal to acquire U.S. software group PTC, according to reporting from Reuters. The potential acquisition could be announced as soon as Monday, though a person close to the deal cautioned that discussions remain ongoing and no final agreement is guaranteed.

Schneider Electric Pursues PTC in $20 Billion Acquisition Talks

Boston-based PTC holds a market value of $15.63 billion according to LSEG data cited by Reuters, while other reports note a valuation of $15.5 billion. The acquisition would stand as Schneider Electric’s largest ever, surpassing its $11 billion takeover of UK industrial software company Aveva in 2023. Both Schneider Electric and PTC did not immediately respond to Reuters requests for comment outside regular business hours, while the Financial Times originally broke the news of the ongoing negotiations.

Data Center Demand and AI Software Drive Industrial Expansion

The acquisition target, PTC, provides software solutions used to design, manufacture, and service products across multiple sectors while benefiting from rising demand for its artificial intelligence-powered tools. Meanwhile, Schneider Electric has expanded aggressively into software acquisitions, having agreed in June to buy Cognite Holding, a privately held provider of AI software and industrial data. Historically known for industrial components such as fuses and circuit breakers, Schneider now builds the core infrastructure of data centers, supplying server racks, cooling units, and power distribution equipment. Booming demand for data centers—especially from the United States—has bolstered Schneider’s earnings, helping offset softer demand in traditional electrical equipment markets.

Market Valuation and Leadership Strategy at Schneider Electric

Schneider shares have climbed 28% through the year, lifting the company’s market capitalization to €175 billion and positioning it as France’s third-largest listed company. Chief Executive Olivier Blum, who has held the role for less than two years, has communicated to investors that the firm intends to maintain an active approach toward acquisitions. In July, Schneider Electric raised its annual revenue forecast following record first-half financial results, banking on sustained demand for core industrial software and AI-driven tools.

Potential Announcement Expected on Monday

Discussions between Schneider Electric and PTC continue actively, leaving open the possibility of a formal announcement as early as Monday, according to sources close to the matter cited by Reuters.