Siemens shares showing up to 50% fall in some app today; Here's why

Shares of Siemens India might be showing up to a 50 per cent in some trading apps today as the capital goods counter traded ex-demerger today. The company spun-off its energy business in the country. All the eligible shares of Siemens India, as of the record date, will receive shares of the demerged new energy entity in 1:1 ratio.

Shares of Siemens India opened at Rs 2,571 on Monday, signalling a 48 per cent fall from its previous close at Rs 4,939.80 on Friday. The total market capitalization of the stood sub-Rs 1 lakh crore mark. The indicated fall was due to the 'subtraction' of its energy business value from the stock.

However, the stock dropped another 3 per cent to Rs 2,490 on Monday, extending the overall fall to 50 per cent over its previous close but managed to rebound 20 per cent from day's low to Rs 2,998, taking the overall gains to 16.6 per cent against the opening price today. However, despite the recovery, the stock might be signaling a 40 per cent fall in some apps today.

Friday, April 4 was the last to buy Siemens India shares to become eligible to get the shares of its new energy business entity as Monday marks the record date for the same. The stock is under 'T+1' settlement cycle. The record date determines the eligibility of shareholders for the given corporate action.

Investors having the delivery of shares of Siemens India in their demat accounts will issue one shares of Siemens Energy India, its energy business entity, for each share of Siemens India held as on record today. The subtracted value is the discovered price of the Siemens Energy India. The demerger follow the approval from the NCLT on March 26.

According to IIFL Securities, the listing process of Siemens Energy India may take 60-90 days from the record date, with the listing in-line with German parent Siemes AG's guidance of June 2025. Another domestic brokerage firm, Nuvama said that Siemens may speed-up to listing process in India, considering its size in India.