Czech Railways: Financing the fleet for 13 billion CZK
Czech Railways are looking for alternative methods of financing the fleet for 13 billion kroons. A new company will be created that will own the new ČD trains with a speed of 230 km/h.
Czech Railways (ČD) is in talks with the National Development Bank for new financing for a fleet of 20 nine-car trains at 230 km/h, ordered for international and domestic intercity routes.
The fleet is expected to cost 13 billion kronor ($ 607.6 million), informs Railway Supply magazine, citing České dráhy. Each train will have 555 seats and will be built by a consortium of Škoda Transportation and Siemens Mobility.
They will put trains into operation gradually from 2024 to 2026.
“This is an investment in the future, because modern trains cannot be purchased overnight and their production takes several years,” says Ivan Bednarik, Chairman of the Board of Directors and CEO of ČD.
Bednarik says that cooperation with National Development Bank is important: “Together we will create a joint stock company ČD Finance, which will provide the necessary funds. The project will include the National Development Fund and Czech or European banks.”
The new fleet will be owned by a newly created company, with each partner owning a 50% stake in it, and the trains will be in operation for 12 years.
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