+1-888-308-5802     
News Contact Us

Siemens, Alstom offer new merger concessions to competition watchdogs

Author : Pankaj Singh | Published Date : 2019-01-28 

Siemens and Alstom have reportedly offered new concessions in an attempt to meet antitrust demands and getting the green light for their plans of merging into a joint European rail champion. However, there is no certainty that this package’s content would be sufficient for alleviating the concerns of the European Commission, Alstom said in a statement.

Further from the reports, the rail merger is aimed at creating the second largest rail company in the world, with combined revenues of approx. 15 bn euros (£12.98 bn), though the deal has hit a barrier with the regulators. Allegedly, the European Union competition watchdog would be blocking the deal, with a decision expected on February 6, ahead of the deadline of February 18.

Citing sources familiar with the matter, France’s Alstom and Germany’s Siemens have argued that the deal would assist them in being better equipped for competing with China’s state-owned CRRC. However, EU has emphasized that it is concerned about defending consumer interests rather than developing regional industrial powerhouses, sources further mentioned.

Purportedly, the rail company’s combined revenue would be approximately half the size of CRRC yet double than Bombardier from Canada. For sweetening the deal, both the companies are now prepared to share the high-speed train technology of Siemens for 10 years in Europe, instead of five.

Margrethe Vestager, Commissioner of European Union Competition, said in a statement that people of her staff were in the process of reviewing the last-minute changes that were filed by the two companies on January 25, 2019. Vestager stated that they had come significantly over the usual deadline.

When asked if it was still possible for the agreement to go through, Vestager further said that the commission is looking at what was handed over to it in the latest filing, and this would be the last push, if at all possible.

About Author

Pankaj Singh

Pankaj Singh

Endowed with a post graduate degree in management and finance, Pankaj Singh has been a part of the online content domain for quite a while. Having worked previously as a U.K. insurance underwriter for two years, he now writes articles for fractovia.org and other online portals. He can be contacted at- [email protected] | https://twitter.com/PankajSingh2605

Related News

Instagram glitch causes follower counts to reduce by millions

Published Date: 2019-02-15         Author: Pankaj Singh

Instagram has reportedly announced that it is investigating the glitch which is causing some of its most popular accounts to lose millions of followers. As per trusted sources, several popular YouTube creators have experienced big drops in their follower counts apart from mainstream celebrities. ... Read More

Biome signs MoU to acquire low-cost Cannabidiol from CBD Acres

Published Date: 2019-02-13         Author: Pankaj Singh

Biome Grow Inc., the cannabis industry major based in Canada, has reportedly entered into an MoU (Memorandum of Understanding) in a bid to provide the company with access to low-cost, high-quality CBD (cannabidiol) extract from the industrial hemp manufacturer, CBD Acres Manufacturer Inc.  A... Read More

Shell to roll out charging stations for electric vehicle across Mzansi

Published Date: 2019-02-11         Author: Pankaj Singh

The number of charging stations to be installed would depend upon the demand generated by the nation’s EV users.   The company is one of several oil firms in South Africa that are adapting to the changes coming in the automotive industry. Royal Dutch Shell (Shell), a renowned ... Read More

© 2019 Fractovia. All Rights Reserved