Hitachi to Sell Assets in Compliance with EU Antitrust Regulations

A Hitachi spokesperson said on September 18 that the company has offered to sell assets in France and Germany in order to address EU antitrust concerns about its proposed €1.7 billion (US$1.8 billion) acquisition of Thales' GTS railway signalling business.

Last week, the Japanese conglomerate submitted its remedy offer to the European Commission, which is expected to solicit feedback from Hitachi customers and competitors before deciding whether to accept the remedies or demand more.

"The proposed remedy includes the divestment of our mainline signalling business in France and Germany," the spokesperson said, confirming a Reuters report from last week.

The EU antitrust enforcer has set a deadline of November 6 for its decision.

According to Reuters, the offer to the EU is similar to that made to the UK competition agency, and includes selling Hitachi Rail's mainline signalling business in the UK, France, and Germany.

Hitachi also provided a behavioural solution for its communications-based train control signalling systems. However, the UK watchdog later dropped its concerns in this area.