CAF finalizes the acquisition of the Alstom factory in France for 75 million euros

CIFwith plant in Zaragozaformalized the acquisition of the Alstom plant in Reichshoffen (Alsace, France), the platform the trains Coradia Polyvalent, as well as the intellectual property related to the Talent 3 platform, after obtaining the regulatory authorizations provided for in the purchase-sale contract.

The enterprise value of the scope acquired is 75 million euros and was financed by company debt Guipuzcoanas reported to National Securities Market Commission (CNMV).

The scope of the acquisition includes various assets in France and Germany. Concretely, it will integrate the Reichshoffen manufacturing plant, the Coradia Polyvalent platform with an associated portfolio, as well as the intellectual property platform Talent 3 aimed at the German market and Central European markets with key engineering personnel.

As the Basque company explains, the means and the men of Reichshoffen, with more than 700 employees in the fields of engineering, purchasing, project management, manufacturing or administration, “have a extensive experience in railway projects with first-class customers”, as well as “a great potential that will allow to execute programs in a wide range of vehicles”. In addition, its “strategic” location makes it suitable to serve customers from other European markets relatives.

The Coradia Polyvalent platform is ready for international trafficcapable of reaching regional speeds (up to 160 km/h inclusive) and interurban speeds in electric or bimodal traction which will provide CAF with a portfolio of projects for an amount of approximately 500 million euros.

Thus, he pointed out that, among them, a relevant project stands out with SNCF Voyageurs (SNCF), as well as other client projects such as Hello Paris Services (Hello Paris), Régie Autonome des Transports Parisiens (RATP) or L’ Agency for the Promotion of Investments and Major Works (Apix). The agreement reached guarantees the workload in the factory Reichshoffen for the next few years.

For its part, the German scope of the agreement includes the intellectual property of the Talent 3 platform, “capable of reaching regional speeds of up to 160 km/hy including electric traction”, and the transfer of a team of German engineers linked to it.

This will “strengthen CAF’s design and homologation capabilities in the German and Central European markets”. Given the Group’s current order book in Germany (VRR-NWL, Bonn, Essen, Freiburg) and the list of upcoming opportunities, “its additional capacities will complement the current ones”.

Growth and diversification

The railway company stressed that the acquisition of these assets “consolidates a new step in CAF’s growth and diversification strategy”. The main attraction of these assets lies in the strengthening of CAF on the French market, “by adding local operational capacities to those already existing at the Bagnères-de-Bigorre headquarters in France”.

With this acquisition, CAF hopes to consolidate its position as the second-largest French railway manufacturer, at the same time as promotes its business in Germany and other Central European markets.

The operation is also a new “milestone” in the growth strategy “inorganic” of CAF, after the acquisition of Solaris in 2018 and EuroMaint in 2019, among others. With these acquisitions, CAF “confirms its desire for growth in the rolling stock, services and other businesses, thus strengthening its position as a benchmark supplier of mobility solutions and services”.

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