Alstom site in Tarbes with roof solar panels, source: Alstom

Alstom completes Bombardier purchase for 5.5 billion

Alstom site in Tarbes with roof solar panels, source: Alstom

The takeover of Bombardier by French train manufacturer Alstom is completed, the company announced on Friday. This makes the company the second largest train builder after the Chinese train manufacturer CRRC.

With the acquisition of Bombardier Transportation, Alstom expands its rail equipment offering to include light rail vehicles, high-speed trains, Automated People Movers (AMPs) and monorail. In addition, the network of maintenance facilities and knowledge centers in the field of predictive maintenance will be significantly expanded. In total, the joint venture will soon have a fleet of 150,000 rail vehicles.


Alstom, who lowered its offer in September last year, indicated that the acquisition is worth 5.5 billion. The expanded group has a combined turnover of approximately 15.7 billion euros with an order book of 71.1 billion euros. The new company employs a total of 75,000 people active in 70 different countries.

“Today is a unique moment for Alstom and the mobility sector worldwide, with the creation of a new global
leader centered on smart and sustainable mobility. More than ever, the world has to engage in a deep
environmental and social transition to be able to address the great challenges of urbanization, equal opportunity
to economic development and climate change”, said Henri Poupart-Lafarge of Alstom. “It is our responsibility to bring the innovations necessary for such great challenges.”

Competing with CRRC

Alstom says the merger with Bombardier is necessary to compete with CRRC. This Chinese state-owned train manufacturer took over the locomotive division of Vossloh in Germany last August. Brussels blocked the merger between Alstom and the Siemens train branch in 2018. At the time, the two companies would not have been willing to take sufficient measures to ensure a fair competitive position in relation to other train builders and system suppliers.

By promising drastic measures, Alstom and Bombardier got the approval of European competition authorities. For example, factories have to be sold and rolling stock series cancelled. The promise to provide information about train protection systems to competitors should ensure that rail customers are not completely at the mercy of Alstom-Bombardier.

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Author: Marieke van Gompel

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