Shares of Alstom Group companies – Alstom India Limited and Alstom T&D India have rallied up to 18% after parent company Alstom announced that it has received a binding offer from General Electric (GE) to acquire its energy business.
Alstom India has surged 18% to Rs 481 and Alstom T&D India has spiked up by 12% to Rs 297 on the Bombay Stock Exchange.
Alstom today said it is considering the proposed acquisition of its energy activities by GE and the creation of a strong standalone market leader in the rail industry.
The scope of the transaction includes the thermal power, renewable power and grid sectors, as well as corporate and shared services, Alstom said in a press release.
The company will use the sale proceeds to strengthen its transport business and ensure its ambitious development, pay down its debt and return cash to its shareholders, it added.
But the French engineering firm said it would be open to a rival bid from German firm Siemens, which is also interested in its power turbines business.
Alstom is the world’s leading energy solutions and transport company. Present in India since 1911, Alstom has strong capabilities in engineering, manufacturing, project management and supply of products and solutions for power generation, transmission and transport infrastructure requirements.
Alstom India has surged 18% to Rs 481 and Alstom T&D India has spiked up by 12% to Rs 297 on the Bombay Stock Exchange.
Alstom today said it is considering the proposed acquisition of its energy activities by GE and the creation of a strong standalone market leader in the rail industry.
The scope of the transaction includes the thermal power, renewable power and grid sectors, as well as corporate and shared services, Alstom said in a press release.
The company will use the sale proceeds to strengthen its transport business and ensure its ambitious development, pay down its debt and return cash to its shareholders, it added.
But the French engineering firm said it would be open to a rival bid from German firm Siemens, which is also interested in its power turbines business.
Alstom is the world’s leading energy solutions and transport company. Present in India since 1911, Alstom has strong capabilities in engineering, manufacturing, project management and supply of products and solutions for power generation, transmission and transport infrastructure requirements.