French Alstom in talks to purchase Bombardier’s rail unit for $7 billion


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French Alstom in talks to purchase Bombardier’s rail unit for $7 billion

French multinational rail transport company, Alstom Groupe, had been in talks with Canadian multinational conglomerate Bombardier to purchase its high-speedy rail unit, at least two people close to the talks had revealed on earlier on Wednesday, the 12th of February 2020, Besides, one of the two sources familiar with the subject-matter had also unveiled on condition of anonymity on Wednesday (February 12th) that the board members of Alstom was set to meet Bombardier’s management late on Wednesday (February 12th) to hold further discussions on purchasing its rail unit, while a report from a Canadian local newspaper published late on Tuesday (February 11th) had also revealed that the French train manufacturer was seeking to purchase Bombardier’s high-speedy rail unit under a sum of $7 billion.

Apart from that, confirming the Alstom’s bid for Bombardier’s rail unit, French television station, BFM had reported at its website that Alstom would likely to make a firm offer to purchase the debt-ridden Bombardier’s rail unit as early as by Wednesday (February 12th) night.

On top of that, although neither Alstom nor Bombardier had commented over the issue while being asked earlier on Wednesday (February 12th), Toronto Stock Exchange-listed shares’ prices of Bombardier skyrocketed as much as 10.57 per cent to C$1.57 on late-afternoon trading.