Hitachi Rail and Mer Mec Group agree signalling deal

Hitachi Rail agrees to sell mainline signalling division to Mer Mec Group

Hitachi Rail and Italian rail infrastructure company Mer Mec Group have signed an agreement that will see Hitachi Rail sell its mainline signalling business in France, alongside its signalling business units in Germany and the UK.

The deal stems from the October 2023 European Commission and the UK’s Competition and Markets Authority approval for Hitachi Rail’s acquisition of Thales GTS. As part of that decision, Hitachi Rail had to divest its mainline signalling businesses in France, Germany and the UK.

Commenting on the proposed deal, Hitachi Rail CEO, Giuseppe Marino said: “Today we have achieved a major milestone towards the final acquisition of Thales GTS, which is a key part of our growth strategy.

Giuseppe Marino quote

“The agreement follows a key commitment to European and UK regulators and is a step forwards in our acquisition of Thales GTS. This solution also will grant the divested business a long-term future.”

The deal will affect 550 employees in France, Germany and the UK however no job losses are expected. The company also confirmed that the deal will not affect other parts of its businesses, including its CBTC centre in France and its rolling stock and maintenance divisions in the UK. It reported revenues of over €5 billion in the last financial year.

Commenting, Vito Pertosa, President of Mer Mec Group and of its parent company ANGEL Holding said: “We are delighted to have signed this agreement, which represents an important step towards the acquisition of this historic signalling company.

“We are confident that the synergies that will be achieved with Mer Mec Group, led by our CEO Luca Necchi Ghiri, will further increase our competitive advantages, strengthening our worldwide presence.”

Once the deal is completed, Mer Mec Group will have over 3,000 employees and an order backlog of €3 billion.

No expected date for the completion of the deal has been announced yet.

Photo Credit: Hitachi Rail


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