Siemens and Mitsubishi joined forces in bidding Alstom: In response to Alstom's General Electric offer for its electrical division, now SIEMENS and Mitsubishi Heavy Industries (MHI) joined forces and submitted a joint bid.
With this offer, Siemens will be offering to buy Alstom's gas turbine business for a cash charge of 9,3 billion €, while MHI will purchase shares from Alstom's assets in the energy sector with separate joint ventures. MHI will transfer Alstom to 3,1 billion in cash and offer to buy the 10 share in Alstom with a share of 29,4 from Bouygues, the main shareholder of the company.
This will enable Alstom to protect some of its energy assets and transportation. The deadline for GE's offer is 23 June, so Alstom has now come a way.
Alstom is a company with 18000 employees in France and one of the leading actors in the transportation and energy sector in Europe. The French government is investigating ways to protect Alstom. The approach to GE's bid was not very positive and was encouraged to make a bid that could compete with the Siemens GE offer.
Siemens hopes that their offer, including a three-year business guarantee and 1000 in France, will be enough to ease the fears of the French government.