Bombardier and Alstom Complete Regulatory Approvals for Transportation Sale
Bombardier and Alstom announced receipt of all necessary regulatory approvals for the sale of Bombardier Transportation. The transaction is now expected to close on January 29, 2021.
Bombardier Inc. and Alstom confirmed on Wednesday that all required regulatory approvals have been received to complete the sale of Bombardier Transportation. The transaction is anticipated to close on January 29, 2021.
This development signifies a crucial step for Bombardier as it continues its strategic shift to focus primarily on its aerospace business. The sale of its rail division to Alstom was first announced in September 2020.
The deal, valued at approximately $7.4 billion, has undergone extensive scrutiny from competition authorities worldwide, including the European Commission, the U.S. Department of Justice, and China's State Administration for Market Regulation.
Bombardier has stated its intention to use proceeds from divestitures to strengthen its balance sheet and reduce debt. The completion of the Alstom transaction is expected to provide capital that will support the company's aerospace manufacturing and development.