Schneider Electric, a France-based manufacturer of low- to medium-voltage equipment, is in the early stages of discussions to acquire British industrial software and control systems company Invensys, Bloomberg reported.
Schneider is offering approximately $5 billion, or 505 pence a share, for the software provider. Invensys said it's likely to accept the offer, which is 15 percent higher than the closing share price on July 11, according to the article.
RELATED: Honeywell to automate Rosneft refinery in southern Russia
Schneider said it made the offer in an effort to increase its focus on the industrial automation sector and help establish its position in the rapidly expanding operational efficiency software business.
In addition, Schneider believes the transaction would create an opportunity to realize significant cost savings through enhanced efficiencies across Schneider's and Invensys' customer bases.