Siemens Mobility to buy MERMEC businesses in Italy

Siemens Mobility MERMEC acquisition will cover several key businesses from Italy’s MERMEC group. The group specializes in railway signaling, electrification, diagnostics, and measurement technologies. This is reported by the railway transport news portal Railway Supply.

The transaction is intended to expand Siemens’ global rail technology portfolio. Its focus is diagnostics, data analysis, and signaling systems.

Siemens Mobility said the value of the deal has not been disclosed. It also said completion remains subject to customary approvals. The deal is expected by the end of the 2026 calendar year.

The transaction is selective in scope. It covers defined MERMEC businesses and leaves several named investments outside the deal.

MERMEC was founded in 1970 and is headquartered in Monopoli, Italy. It is among Italy’s leading suppliers of rail signaling systems for mainline networks. The portfolio also includes digital diagnostic technologies and high-precision measurement trains. It also includes solutions used for rail infrastructure inspection.

Siemens Mobility MERMEC acquisition strengthens its position in Italy

The planned acquisition will expand Siemens Mobility’s industrial presence in Italy. This is within its global rail signaling business. According to the company, the deal will significantly strengthen its diagnostics portfolio. Also, it will improve access to the Italian rail market.

“By combining MERMEC’s technological expertise and market access with Siemens Mobility’s global presence and technological leadership, we are strengthening our capabilities in diagnostics, asset intelligence, and signaling. This step expands our industrial footprint in Italy within our world-leading global signaling business and significantly enhances our global diagnostics portfolio,” said Michael Peter, CEO of Siemens Mobility.

Siemens Mobility says it brings urban signaling expertise. MERMEC brings a presence in Italy’s main rail infrastructure. The company says this combination will support the modernization and digitalization of the country’s national rail network.

Matera diagnostic technologies hub

The Ferrosud plant in Matera is included in the transaction. Siemens describes it as a strategic asset. Siemens Mobility plans for the Matera facility to become an industrial hub for next-generation diagnostic technologies.

The acquired MERMEC businesses include employees, facilities, and industrial capabilities. These will be integrated into Siemens Mobility’s global innovation ecosystem. In addition, the company expects synergies through cross-selling and the expansion of its integrated portfolio.

Siemens also expects the acquisition to contribute to its growth targets. Separately, it expects the deal to be within the Mobility division’s target margin. This is expected by the second year after completion.

Railway diagnostics, measurement, and data analysis

The transaction is especially relevant to the railway diagnostics sector. Siemens Mobility says it will combine its asset intelligence and diagnostics capabilities with MERMEC’s diagnostic vehicles. For example, the Siemens capabilities include on-board and depot-based solutions. The MERMEC vehicles are equipped with measurement systems and software for rail infrastructure inspection.

The stated aim is to build a scalable diagnostics and analytics platform. The same stated aim is also cited by International Railway Journal. The platform would have global coverage. Siemens Mobility’s international network and customer base would support it.

MERMEC operates in signaling, electrification, diagnostics, digital asset analytics platforms, and advanced inspection technologies. Also, the company is known for measurement trains and vehicles used to assess the condition of railway infrastructure.

What the transaction includes?

The transaction covers MERMEC’s key businesses in track signaling in Italy, electrification, and telecommunications. It also covers diagnostics, data analytics, and global data infrastructure.

Still, it does not include MERMEC’s investments in Angelstar S.r.l. and Mont Saint Michel S.A.S. The exclusion also covers Mont Saint Michel’s subsidiary Compagnie des Signaux S.A.S. and MERMEC Deutschland.

The businesses included in the deal have about 1,700 employees. They serve customers in more than 70 countries. They generated revenues of approximately 430 EUR million in fiscal year 2025.

Employee continuity cited as part of the decision

Vito Pertosa is chairman of Angelo Holding, which controls MERMEC. He linked the decision to the need to secure continuity for the company. In addition, he said employees would receive a global framework.

“Formally, I have been retired for nine months; currently, my health is not in the best condition, and my children are pursuing their own independent paths with their companies. For this reason, I sought out a very solid group in the sector to guarantee a secure future for my valued colleagues, who have contributed to transforming MERMEC into the company it is today, wherever they may be. The integration into Siemens will provide them with a global environment strongly focused on innovation and sustainable growth. The transaction will allow me to invest in the other companies within my industrial holding, as well as to contribute to the development of businesses in southern Italy, which need to grow and create new, high-quality jobs,” said Vito Pertosa.

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