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Alstom (Baa3): Completes Sale of Signalling Business

CAPITAL GOODS
  • €630mn divestment of the North America signalling business to Knorr-Bremse.
  • The potential sale was reported in the press last week with a reported $600mn valuation, so a slight uplift on that.
  • Alstom is targeting €1bn in asset sales to help shore up its IG rating.
  • Transaction is positive for credit given the ratings focus although not unexpected.

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