Siemens Energy Secures Government Backing Amid Financial Struggles

German and Spanish Governments Step in to Support Siemens Energy and its Wind Division, Siemens Gamesa

Siemens Energy, a key player in Germany's energy transition, is reviewing the structure of its struggling wind division, Siemens Gamesa, after a $5 billion annual net loss.
Siemens Energy secured a 12 billion euro credit line from private banks, partly backstopped by the German government, to alleviate investor concerns.
The German government has provided Siemens Energy with an $8 billion loan guarantee as part of a $16.3 billion rescue package, underscoring the company's importance in the country's transition from fossil fuels to renewable energy.
The Spanish government is also in talks with banks to provide financial support to Siemens Gamesa, aiming to protect the company's employees in the country.
Siemens Energy is expected to provide more details on the review of Siemens Gamesa's activities and its future plans on Nov. 21.