Alstom closed the deal of purchasing an additional 8% shares in Transmashholding (TMH) from the Russian Railways (RZD) for approximately $58.9 million. Following the deal, Alstom’s stake in TMH reached 33%. Alstom will retain two seats in the TMH board of directors.
The deal will boost Alstom and TMH’s collaboration, as the partners expand their objective beyond providing high-performing trains to delivering turnkey railway projects, infrastructure and signaling, as well as the export of products and components.
Alstom and TMH are partners for six years and have been working on a project for the delivery of 400 passenger and freight locomotives to the Russian Railways. TMH manufactures mainline and urban trains, marine and stationary diesel engines, and casting. The company also provides rolling stock repairs.
TMH is the largest railway engineering company in CIS in terms of sales volume and one of the largest manufacturers in the world.