Siemens AG shareholders yesterday approved the spinoff of the underperforming Osram lighting unit. Declining orders, rising costs and a contracting European economy will lead to more disposals.
Siemens, whose shares last year returned only one third of the German DAX benchmark index’s advance, earmarked units such as airport luggage systems, mail automation and water technology for disposal. It’s now combing through its portfolio to weed out other laggards. Europe’s biggest engineering company outlined yesterday that units making trains and low-voltage gear also fell short of their potential in the most recent quarter.