Alstom sells North American conventional signalling business to Knorr-Bremse
Alstom, a global leader in smart and sustainable mobility, has announced the sale of its North American conventional signalling business to Knorr-Bremse AG for approximately 630 million euros.
The agreement, finalised on 19th April 2024, is part of Alstom’s broader action plan unveiled on 15 November 2023. Detailed plans regarding these targets will be disclosed during the full-year results announcement on 8th May 2024. Henri Poupart-Lafarge, Chairman and Chief Executive Officer of Alstom, expressed satisfaction with the agreement, highlighting the contributions of Alstom’s North American signalling employees in developing a successful business in recent years.
The sale specifically pertains to the conventional segment of Alstom’s North American signalling business, which generated revenues of approximately 300 million euros in the fiscal year 2023/24. Despite this divestment, Alstom remains committed to serving the North American signalling market through other segments, including Communications Based Train Control (CBTC) and European Train Control System (ETCS) solutions.
The transaction is subject to customary conditions, including regulatory approval, and is anticipated to be completed by Summer 2024. Alstom has engaged Crédit Agricole CIB as financial advisor, White & Case LLP as legal advisor, Cleary Gottlieb Steen & Hamilton LLP as antitrust advisor, and Accuracy for financial due diligence. Upon closing, Alstom expects to receive proceeds of approximately 620 million euros, net of expected tax and transaction costs.
Further reading:
