This $23 billion software deal was struck at a decade-low valuation, as AI winner takes out loser

This $23 billion software deal was struck at a decade-low valuation, as AI winner takes out loser This $23 billion software deal was struck at a decade-low valuation, as AI winner takes out loser French electrical equipment giant Schneider Electric has thrived due to the AI build-out. Schneider Electric, the maker of electrical equipment that has thrived from the AI build-out, on Monday struck a $23 billion deal to buy an industrial design software company at a bargain-basement valuation. PTC for $205 a share, in cash, which is a 42% premium to Friday’s close.

PTC’s valuation this year had fallen as low as 13.1 times the next 12 month earnings, according to FactSet. Schneider said the deal is priced at 13 times earnings once synergies are included, though most of that is from projected revenue synergies, which are typically harder to realize. Don’t Short Yourself offers weekly money tips to help you earn it, stack it and grow it.

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Schneider said the deal complements its own industrial AI data foundation, but investors reacted negatively, as Schneider stock fell 8% in early Paris trade. Schneider Electric has thrived as its products are in hot demand to build out data centers. It commands nearly double the valuation of the typical stock in the French CAC 40.

Its total returns of 90% over the last three years are ahead of the 23% for the CAC 40 Copyright ©2026 MarketWatch, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8 Steven Goldstein is based in London and responsible for MarketWatch's coverage of financial markets in Europe, with a particular focus on global macro and commodities. Previously, he was Washington bureau chief, directing MarketWatch's economic, political and regulatory coverage.

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