FRANKFURT--German engineering group Robert Bosch GmbH will purchase Siemens AG's 50% stake in household appliances joint venture BSH Bosch und Siemens Hausgeraete GmbH, the companies said on Monday.

Bosch will pay EUR3 billion ($3.85 billion) for Siemens's stake, making BSH a wholly owned subsidiary of Bosch. Both companies will receive EUR250 million from BSH as part of the transaction. The deal, which still requires regulatory approval, will probably be completed in the first half of 2015.

The largest producer of household appliances in Europe, BSH had revenue totaling about EUR10.5 billion in 2013.

Bosch's acquisition of the appliances division fits into the company's overall strategy to develop intelligent technologies, including energy-efficient "smart home" products.

The deal is part of a larger effort by Siemens to shed its noncore businesses, while moving away from producing consumer products. In 2013, Siemens sold for EUR1.7 billion its stake in a telecommunications equipment joint venture with Nokia Corp.

Siemens's U.S. rival General Electric Co. announced a deal earlier this month to sell its appliances business to Electrolux AB of Sweden for $3.3 billion.

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