Bombardier President and CEO Alain Bellemare attends the company's annual general meeting in Montreal on May 2, 2019. THE CANADIAN PRESS/Graham HughesMONTREAL -- Bombardier Inc. saw shares drop as much as 10.3 per cent Tuesday after announcing the sale of its rail business to French train giant Alstom SA.
If approved by regulators, the US$8.2-billion transaction will help Bombardier slash its debt by half, capping a five-year turnaround plan that has seen the company shed numerous assets, including its commercial airplane division. While private jets often yield higher margins, the luxury industry is more cyclical than rail, and the analysts say equity markets perceive business jets as "facing structural challenges" that are "unappealing from a growth perspective."The acquisition by Alstom -- whose stock dropped more than three per cent Tuesday -- is expected to come under intense scrutiny from antitrust regulators in the European Union.
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Bombardier to sell train unit to French rail giant AlstomSale allows manufacturer to pay down debt as it turns its focus solely to private business aircraft globebusiness We get all our bailout money back then globebusiness Is there anything left of this company? globebusiness Ah finally we'll get a train that works. On another note when are they filing chtr 11?
Source: globeandmail - 🏆 5. / 92 Read more »
Bombardier sells train unit to Alstom SA for US $8.2BBombardier Inc. says it has reached a US$8.2-billion deal to sell its rail business to French train giant Alstom SA. Now TTC will have someone new to blame on late orders same plant different name Will Bonbardier be paying Canada back for all the bailouts JustinTrudeau gave them to keep jobs for Canadians? Ya I didn’t think so! I wonder how they will hide this many jobs lost . Are they going to give back the one billion dollars to the government for a bailout a few years ago.
Source: CP24 - 🏆 30. / 67 Read more »
Alstom confirms it is in talks to acquire Bombardier TransportationAlstom has confirmed Monday it is in talks with Bombardier about the possible acquisition of Bombardier Transportation. Didn't Alstrom build the lemon trains that Ottawa uses for the LRT? Didnt they just get a huge buyout
Source: CTVNews - 🏆 1. / 99 Read more »