BENGALURU, Dec 18 Reuters India39;s Siemens Ltd will explore a spinoff of its energy business at the behest of some of its stakeholders, the electrical appliancesmaker said on Monday, sending its shares to a record high.

Its board also approved the incorporation of a unit in the financial hub of Mumbai, if and when the company decides to implement the demerger, it said in an exchange filing.

Its German affiliate Siemens Energy, one of the shareholders calling for the demerger, has been reviewing options to exit some markets and products of its struggling wind turbine business in a bid to shore up its balance sheet after swinging to an annual net loss last month.

Siemens Energy has also been considering selling some of its 24 stake in Siemens Ltd to its former parent Siemens AG.

Germanybased Siemens AG and its unit are also the other shareholders calling for a demerger of the Indian energy business.

Shares of Siemens Ltd, which has added nearly 50 in value so far this year, rose as much as nearly 7 after the news.

Apart from the energy segment, which includes manufacturing transformers, the Indian firm also makes home appliances, smart infrastructure, and provides cybersecurity services.

Reporting by Varun Vyas in Bengaluru; Editing by Sonia Cheema

Source Reuters