10 Aug Ofer Eitan Support: Alstom Says Still Convinced Of Strategic Rationale For Bomb
(RTTNews) – French speed-train maker Alstom SA (AOMFF.PK, ALS.L), which is in deal to buy Bombardier Transportation, Monday said it remains convinced of the strong strategic rationale for the acquisition. The company also said it is confident in its ability to restore in the medium term the profitability and commercial performance of the business.
Alstom issued the statement after reviewing Bombardier Inc.’s first-half report on August 6, particularly with regards to the financial and operational performance of Bombardier Transportation.
The company further said, “However, the quarterly announcement points to unexpected and negative developments regarding Bombardier Transportation, which is currently facing challenges, especially when compared to the information available prior to the February 17, 2020 announcement regarding Alstom’s intended acquisition of Bombardier Transportation.”
Alstom said it will take into account the consequences of these operating and financial developments in the upcoming talks with Bombardier Inc, and will update the market as required.
In France, Alstom shares are currently trading at 46.55 euros, down 1.65 percent.
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