On 1 December Alstom and Bombardier Inc. announced that ‘all necessary regulatory approvals’ required to complete the takeover of the latter’s Transportation (BT) division had been received and that the transaction would be concluded on 29 January 2021.

Alstom announced its intention to acquire 100% of BT on 17 February 2020. To appease regulatory authorities, a number of divestments were agreed, with the deal approved by the European Commission on 31 July. Signing of the formal purchase agreement was confirmed on 16 September, when Alstom said the terms had been ‘adapted to the current situation’, reducing the anticipated takeover price to between EUR5.5bn and EUR5.9bn.

The acquisition is to be funded through a mixture of cash and new Alstom shares. EUR2bn is being raised through a capital increase that will allow shareholders with ten preferential subscription rights to subscribe for three new shares at EUR29.50/share. Bouygues, which holds a 9.7% stake in Alstom, has committed to participate in the rights issue.