BRUSSELS (Metro Rail News): Alstom is all set to get European Union (EU) antitrust approval to buy Bombardier Inc’s rail business, people familiar with the matter said on Monday, a deal which will make the French rail manufactures the world’s second-largest after Chinese state-owned CRRC Corp.
Earlier this month Alstom offered to sell a French rail factory, its regional train unit Coradia Polyvalent, and a Bombardier commuter trains division and the related production facilities at its Hennigsdorf site in Germany.
The French TGV high-speed train maker also proposed providing access to some products within Bombardier’s train control systems and signalling units to competitors.
The permissions came after the European Commission voiced concerns about Alstom’s more enormous market clout after the deal.
Alstom finally improved the concession on access to the Canadian company’s train control systems and signalling units but did not have to sell more assets following feedback to the Commission from rivals and customers, the people said.
The European Union Commission, which is scheduled to decide on the deal by July 31, declined to comment. Alstom and Bombardier also declined to comment.
Last year, EU regulators blocked Alstom’s attempt to merge rail assets with Siemens AG after they refused to offer more permissions.