Transport company Arriva has a new owner. Deutsche Bahn, which has owned the company since 2010, signed an agreement with I Squared Capital. The American company is involved in infrastructure investments around the world.
Reuters news agency reported that the acquisition was valued at 1.6 billion euros. In total, all ten European markets of the Arriva Group will be taken over by I Squared Capital. Deutsche Bahn’s main reason for selling Arriva is to focus more on expanding the German railway system.
Arriva organizes train and regional transportation in various provinces of the Netherlands. The company’s trains, which employ approximately 5,500 people in the Netherlands, operate primarily in the north, east and Limburg. A spokesman told NOS there would be no changes to the study in the Netherlands. There are no consequences for the employees either.
brave investors
“Today’s announcement is great news for the Arriva Group and also for us at Arriva Netherlands,” said Anne Hettinga, CEO of Arriva Netherlands. “With its new owner, we now look to the future with confidence.” Deutsche Bahn emphasizes that I Squared Capital will help Arriva grow in the field of electric transportation.
FNV Spoor had already stated this week that it thought the sale was bad news. According to director Henri Janssen, you should not want market forces in public transport. “They are brave investors who only care about money,” he told the SpoorPro trade magazine. “Practical experience shows that such parties buy something, then take it apart and prepare it for sale with the intention of getting as much as possible.”
Other parts of Arriva, such as its branches in Sweden and Portugal, have already been sold. This year Arriva was sold to Serbia, Denmark and Poland.
The deal is expected to be completed next year. The case must be approved by the Federal Ministry of Transport, among others.
Source: NOS
Roy Brown is a renowned economist and author at The Nation View. He has a deep understanding of the global economy and its intricacies. He writes about a wide range of economic topics, including monetary policy, fiscal policy, international trade, and labor markets.
