{"id":7566,"date":"2020-02-16T20:52:56","date_gmt":"2020-02-17T02:52:56","guid":{"rendered":"http:\/\/planesintheair.com\/?p=7566"},"modified":"2020-02-16T21:16:58","modified_gmt":"2020-02-17T03:16:58","slug":"alstom-nears-deal-to-buy-bombardiers-train-unit","status":"publish","type":"post","link":"https:\/\/planesintheair.com\/?p=7566","title":{"rendered":"Alstom Nears Deal to Buy Bombardier&#8217;s Train Unit"},"content":{"rendered":"\n<p>(Reuters) &#8211; France\u2019s Alstom SA (<a rel=\"noreferrer noopener\" aria-label=\"ALO.PA (opens in a new tab)\" href=\"https:\/\/finance.yahoo.com\/quote\/ALO.PA?p=ALO.PA&amp;.tsrc=fin-srch\" target=\"_blank\">ALO.PA<\/a>) is close to clinching a deal to buy Bombardier Inc\u2019s (<a href=\"https:\/\/finance.yahoo.com\/quote\/BBD-B.TO?p=BBD-B.TO&amp;.tsrc=fin-srch\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">BBD-B.TO<\/a>) train business which will give the unit an enterprise value of $7 billion, according to a source familiar with the matter.\u00a0<\/p>\n\n\n\n<p>An announcement could come as soon as Monday, the source said, adding a deal has yet to be signed.&nbsp;<\/p>\n\n\n\n<p>The Wall Street Journal, which first reported the news, said Alstom is expected to buy the business using mostly cash and some stock.&nbsp;<\/p>\n\n\n\n<p>Quebec pension giant Caisse de d\u00e9p\u00f4t et placement, which owns a 32.5% stake in Bombardier\u2019s train unit, has agreed to sell its stake to Alstom and buy a minority stake in the combined train company, the WSJ report said.&nbsp;<\/p>\n\n\n\n<p>Bombardier declined to comment on the report and Alstom did not immediately respond to a request for comment.&nbsp;<\/p>\n\n\n\n<p>The Canadian plane-and-train-maker has been struggling to contain higher rail costs generated by a few problematic contracts in its nearly $36 billion order backlog.&nbsp;<\/p>\n\n\n\n<p>The deal would help Alstom compete more effectively against Chinese rail giant CRRC Corp Ltd (<a rel=\"noreferrer noopener\" aria-label=\"1766.HK (opens in a new tab)\" href=\"https:\/\/finance.yahoo.com\/quote\/1766.HK?p=1766.HK&amp;.tsrc=fin-srch\" target=\"_blank\">1766.HK<\/a>), after the French maker of TGV bullet trains was blocked last year by European regulators from merging with Germany\u2019s Siemens (<a href=\"https:\/\/finance.yahoo.com\/quote\/SIE.DE?p=SIE.DE&amp;.tsrc=fin-srch\" target=\"_blank\" rel=\"noreferrer noopener\" aria-label=\"SIE.DE (opens in a new tab)\">SIE.DE<\/a>).\u00a0<\/p>\n\n\n\n<p>Reporting by Rama Venkat in Bengaluru and Allison Lampert in Montreal; Editing by Andrew Heavens<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"620\" height=\"397\" src=\"https:\/\/planesintheair.com\/wp-content\/uploads\/2020\/02\/3XQVKYAWIRE4ZOWDKPB3QW3IKU.jpg\" alt=\"\" class=\"wp-image-7569\" srcset=\"https:\/\/planesintheair.com\/wp-content\/uploads\/2020\/02\/3XQVKYAWIRE4ZOWDKPB3QW3IKU.jpg 620w, https:\/\/planesintheair.com\/wp-content\/uploads\/2020\/02\/3XQVKYAWIRE4ZOWDKPB3QW3IKU-300x192.jpg 300w\" sizes=\"auto, (max-width: 620px) 100vw, 620px\" \/><\/figure>\n","protected":false},"excerpt":{"rendered":"<p>France\u2019s Alstom SA (ALO.PA) is close to clinching a deal to buy Bombardier Inc\u2019s (BBD-B.TO) train business which will give the unit an enterprise value of $7 billion, according to a source familiar with the matter.<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5637,8475,6117,8222,5992,7929,2203,4957,5676,7383,10169,1210,10176,4017,10195,10171,868,10182,1103],"tags":[],"class_list":["post-7566","post","type-post","status-publish","format-standard","hentry","category-business-news","category-canadian-news","category-china-news","category-consumer-news","category-economic-news","category-european-news","category-finance-news","category-global-politics","category-international-news","category-light-rail-news","category-news","category-railroad-news","category-stock-news-2","category-train-news","category-transport","category-transportation","category-transportation-news","category-travel","category-travel-news"],"_links":{"self":[{"href":"https:\/\/planesintheair.com\/index.php?rest_route=\/wp\/v2\/posts\/7566","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/planesintheair.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/planesintheair.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/planesintheair.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/planesintheair.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=7566"}],"version-history":[{"count":3,"href":"https:\/\/planesintheair.com\/index.php?rest_route=\/wp\/v2\/posts\/7566\/revisions"}],"predecessor-version":[{"id":7570,"href":"https:\/\/planesintheair.com\/index.php?rest_route=\/wp\/v2\/posts\/7566\/revisions\/7570"}],"wp:attachment":[{"href":"https:\/\/planesintheair.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=7566"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/planesintheair.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=7566"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/planesintheair.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=7566"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}