ALSTOM SA

Alstom announces the sale of its North American conventional signalling business. An important milestone in the implementation of the group’s deleveraging plan.

Alstom announces the sale of its North American conventional signalling business. An important milestone in the implementation of the group’s deleveraging plan.

19 April 2024 – Alstom, global leader in smart and sustainable mobility, announced today that it has entered into a binding agreement with Knorr-Bremse AG to sell Alstom’s North American conventional signalling business for a purchase price of around €630 million¹.

This transaction is part of the comprehensive company action plan that Alstom announced on 15 November 2023, aiming at reinforcing its leadership position in the Rail industry. Alstom will provide the details of its plan to maintain a solid and sustainable investment grade rating and of its €2 billion deleveraging target at full-year results on 8 May 2024.

"We are pleased to sign this agreement, which marks an important step in the implementation of our action plan. It evidences the work of our North American signalling employees, who have built and advanced this very successful business over the past few years”, said Henri Poupart-Lafarge, Chairman and Chief Executive Officer.

This transaction concerns the conventional part of the North American signalling business, and the perimeter to be sold had revenues of approximately €300 million in FY 2023/24.

Alstom will continue to serve the North American signalling market on different segments, notably with Communications Based Train Control (CBTC) and European Train Control System (ETCS) solutions.

Closing of the transaction is only subject to customary conditions, including regulatory approval, and is expected to take place as soon as Summer 2024.

Alstom is accompanied by 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 diligences.

Alstom is a protected trademark of the Alstom Group.

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1 Proceeds for Alstom at closing (net of expected tax and transaction costs) are expected to reach ca.€620 million.

	About Alstom
		Alstom commits to contribute to a low carbon future by developing and promoting innovative and sustainable transportation solutions that people enjoy riding. From high-speed trains, metros, monorails, trams, to turnkey systems, services, infrastructure, signalling and digital mobility, Alstom offers its diverse customers the broadest portfolio in the industry. With its presence in 63 countries and a talent base of over 80,000 people from 175 nationalities, the company focuses its design, innovation, and project management skills to where mobility solutions are needed most. Listed in France, Alstom generated revenues of €16.5 billion for the fiscal year ending on 31 March 2023.