Siemens India Ltd on Tuesday informed Bombay Stock Exchange that it has transferred all its stake in its IT arm--Siemens Information Systems (SISL) to a subsidiary of Siemens AG- Siemens Corporate Finance.

Siemens' Managing Director, Armin Bruck said that realignment of software business is done to separate low and high margin business. Siemens Information Systems get
70 per cent of its revenue from its parent company.

The company would pay special attention toward industry, energy and healthcare by developing central software. It would chalk out new business strategy to increase its revenue and cover up its previous losses.

The company said in a statement, "The global realignment meant that the business model changed from an 'entrepreneurial' to a 'factory' model to leverage India's cost advantage making it globally competitive." The changed business model impacted its business and it reported significant fall in its profits during the period September
2007.

SISL reported decline in sales for the year ended September, 2008. It made a sales revenue Rs 994 crore as compared to Rs 1,023 crore in the same period last year.