Spanish authorities blocked the sale of Talgo to the Polish state fund PFR despite a competitive offer. This was reported by Expansion, citing sources familiar with the situation. This was reported by the railway transport news portal Railway Supply.

Spanish authorities blocked the sale of Talgo to the Polish state fund PFR despite a competitive offer.
Photo: Talgo

Why Won’t Talgo Be Sold to the Polish Fund?

PFR, which owns the Polish train manufacturer Pesa, planned to acquire 40% of Talgo shares. The price per share was set at €5, but Spanish laws require a full takeover if more than 30% of a company is acquired. As a result, the deal would have led to the complete acquisition of the Spanish manufacturer.

Don’t miss…King Charles Grants DB Cargo UK a Renewed Royal Warrant for Royal Train

The Polish Ministry of Foreign Affairs supported PFR’s bid, but the Spanish government blocked the deal. Poland’s offer was competitive and exceeded the terms of the Hungarian consortium Ganz-Mavag. However, Hungary was also previously denied for political reasons.

How Will Spain’s Rejection Affect Poland’s Railway Projects?

Poland intended to buy Talgo to develop the Centralny Port Komunikacyjny (CPK) project, worth €30.4 billion. The plan includes the construction of 2,000 km of high-speed rail and a multimodal transport hub called “Solidarity.” Talgo could have been a key partner in this project.

Train procurement for CPK was set to begin in 2025, and in 2024, Pesa and Talgo signed a memorandum. The agreement outlined the potential production of 100 to 200 high-speed trains capable of reaching 250 km/h.

Spain has already rejected bids from Hungary and the Czech Republic, and now Poland has faced the same response. Currently, a bid from a Basque Country consortium is under review. They plan to acquire 29.8% of Talgo’s shares at €4.8 per share without aiming for full control of the company.

News on railway transport, industry, and railway technologies from Railway Supply that you might have missed:

Don’t miss…Arctic Blast Disrupts BNSF’s Northern Transcon, Causing Delays and Reroutes

Find the latest news of the railway industry in Eastern Europe, the former Soviet Union and the rest of the world on our page on Facebook, Twitter, LinkedIn, read Railway Supply magazine online.

Place your ads on webportal and in Railway Supply magazine. Detailed information is in Railway Supply media kit