Siemens, Alstom to merge rail units
Siemens and Alstom have agreed to merge their rail businesses. The merger deal brings together former archrivals from Germany and France to create a European transportation giant aimed at countering competition from China. Siemens will transfer its rail business to Alstom in exchange for a stake of just above 50 per cent in the enlarged company. The renamed Siemens Alstom, with sales of about 15.3 billion euros, will remain based in Paris. Alstom CEO Henri Poupart-Lafarge will keep his position and the chairman will be named by Siemens.