Alstom reveals time of closing deal with Kazakhstan Railways
Baku, Azerbaijan, Dec.26
By Leman Zeynalova – Trend:
The closing of the deal between French Alstom and Kazakhstan Railways (KTZ) to acquire their 25 percent stake in the EKZ Joint Venture (JV) is expected in the first quarter of 2018, a source in Alstom told Trend.
“The acquisition of additional 25 percent shares by Alstom from KTZ is subject to the approval of the anti-trust authorities and board of directors of each partner (Alstom, KTZ, Transmashholding). The closing of the deal should occur in Q1 2018,” said the source.
However, the source declined to disclose the cost of the deal.
The source noted that currently, privatization program is ongoing in Kazakhstan and this deal is a consequence of this program.
Alstom signed an agreement with the Kazakhstan Railways (KTZ) to acquire their 25 percent stake in the EKZ Joint Venture (JV).
After approval by the relevant authorities, Alstom will see its total share brought to 75 percent.
Alstom entered Kazakhstan’s railway market in June 2010 together with its Russian partner Transmashholding (TMH), by laying the first stone of the EKZ facility in order to build locomotives for the Kazakh network.
Kazakhstan is an important hub linking Europe, Middle East, Asia and Russia through the new Silk Way. With almost 20,000 km of tracks, the Kazakh railway network is the world’s third biggest using the 1,520 mm track gauge.
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