(Update: statements from Bombardier Inc, stock price)
PARIS (Agefi-Dow Jones)–The railway equipment manufacturer Alstom confirmed on Tuesday that it had filed a request for arbitration before the International Chamber of Commerce relating to its acquisition of Bombardier Transportation.
“The claim is directed against Bombardier Inc. and relates to the breach of certain contractual provisions of the sale agreement dated September 16, 2020,” the group said in a statement.
“As the arbitration proceedings are confidential, Alstom will not comment further during these proceedings,” the company added.
On Monday, Bombardier Inc said it had been informed of this request for arbitration from the French group. “Bombardier has legitimate reasons to defend itself against Alstom’s claim and intends to do so vigorously,” the Canadian group said in a statement.
Bombardier Inc “also intends to challenge certain adjustments to the purchase price that caused the proceeds from the transaction to be lower than previously estimated,” the company added. The Canadian company also warned that this arbitration procedure could “stretch over several years”.
On the Paris Stock Exchange, Alstom shares lost 3% to 21.21 euros following this information.
Alstom has finalized the acquisition of Bombardier Transportation from the Canadian group Bombardier at the beginning of 2021.
-Julien Marion, Agefi-Dow Jones; +33 (0)1 41 27 47 94; [email protected] ed: VLV – ECH
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April 26, 2022 03:24 ET (07:24 GMT)