logo
Plus   Neg
Share
Email

EU Conditionally Approves Alstom's Acquisition Of Bombardier Transportation

The European Commission has approved the acquisition of Bombardier Transportation by Alstom. The approval is conditional on full compliance with a commitments package offered by Alstom.

To address the Commission's concerns, Alstom has offered to divest Bombardier's assets currently contributing to its joint very high-speed platform with Hitachi, the "Zefiro".

Alstom has also committed to a series of measures aimed at preserving the joint bid offered in consortium by Bombardier and Hitachi to HS2, the current largest opportunity for the production of very high-speed rolling stock in Europe.

Alstom has offered to divest Alstom Coradia Polyvalent and the Reichshoffen production site in France.

Alstom has offered to divest the Bombardier TALENT 3 platform and dedicated production facilities located within the Hennigsdorf site in Germany

Closing of the acquisition is expected for the first half of 2021.

In February 2020, French speed-train maker Alstom (AOMFF.PK,ALS.L) said that it signed a Memorandum of Understanding with Bombardier Inc. and Caisse de dépôt et placement du Québec or CDPQ for the acquisition of Bombardier Transportation.

The acquisition price for Bombardier Transportation shares would be 5.8 billion euros to 6.2 billion euros. The consideration would be paid through a mix of cash and new Alstom shares.

For comments and feedback contact: editorial@rttnews.com

Business News

Follow RTT