France’s Thales has completed the sale of its rail technology division to its Japanese rival Hitachi, both companies said on Friday.
According to Hitachi, it will pay 1.66 billion euros for the division, which mainly deals with signal technology. About 9,000 employees will change companies, including 2,000 at three locations in Germany.
“Hitachi is pursuing ambitious plans to accelerate its growth in the German rail market in signaling technology and rolling stock,” the company announced.
Hitachi Rail will now have a presence in 51 countries.
Thales said the sale of the rail division would strengthen the group’s strategic focus on the long-term high-tech growth markets of aerospace, defense and security.
