France-based electrical and automation supplies manufacturing giant Schneider Electric and engineering software provider Bentley Systems are in talks about a potential transaction.

Citing “people familiar with the matter,” the Wall Street Journal noted April 19 that family-operated Bentley has a market value of approximately $15.6 billion and that the Bentley family isn’t operated in an outright sale. Discussions have reportedly focused on potentially merging Schneider’s software business with Bentley.

Schneider confirmed in an April 19 news release that “as part of its continuous exploration of opportunities in furtherance of its One Softwares strategy,” it has been holding discussions with Exton, PA-based Bentley Systems. The brief statement added that talks remain at a preliminary stage, and there is no certainty that a transaction will be agreed upon. Family-operated Bentley acknowledged Schneider’s statement in an even shorter statement, but did not comment on it.

Such a transaction would result in Bentley remaining a public company, the WSJ reported, again citing people familiar with the matter.

The WSJ added that Schneider has eyed similar acquisitions in the past — particularly in the U.K. — to boost its industrial-software business and compete with rivals that include Siemens and Rockwell Automation.

Bentley is an infrastructure engineering software provider that is used by professionals for the design, construction and operation of roads and bridges, rail and transit, water and wastewater, public works and utilities, buildings and campuses, mining and industrial facilities.

Founded in 1984 by brothers Keith and Barry Bentley, the company had 2023 annual revenues of $1.23 billion, up 11.8% vs. 2022 and net profit of $327 million. 

Led by CEO Greg Bentley, the company has approximately 5,200 employees.

Schneider Electric, meanwhile, has a market value or approximately $127 billion. It had 2023 revenues of about $38.7 billion, with net profit of about $4.26 billion. The company’s Software & Services business unit comprised about 19% of annual revenues and saw organic revenues jump 17% during 2023’s fourth quarter year-over-year.

Approximately 34% of Schneider’s 2023 revenues were in North America.

Schneider’s “Digital Flywheel” represented 56% of the company’s 2023 revenues, and the company has a stated goal to move that figure to 60-65% by 2027.