Greece concludes sale of TRAINOSE to Italian railways

Library photo EUROKINISSI / via newsit

Reuters — Greece on Wednesday concluded the sale of its rail company TRAINOSE to Italy’s state railways Ferrovie dello Stato for 45 million euros, the country’s privatization agency HRDAF said.

In July 2016 FS Italiane has been declared “preferred investor” by HRDAF which had accepted the Euro 45million offer.

“The acquisition of Trainose is an opportunity of growth and improvement both for FS Italiane which carries on its international development, and for the Greek railways which will be able to take advantage of the FS’ know how and experience – said Renato Mazzoncini, FS Group CEO.

This transaction is perfectly in line with the 2017-2026 Industrial Plan which envisages Europe as the target market for FS, aiming at fourfold revenues from abroad businesses reaching over 4 billion in 2026.  Trainose acquisition follows the NXET ones, the UK company that operates the C2C line from London to Essex. We are proud of this successes which open the way for further achievements”.

Ferrovie Dello Stato, is prepared to invest 500 mil euro in rolling stock and new technology to improve the service, starting with the important route between Athens – Thessaloniki.

Athens had been trying to sell the asset since 2013 but government changes and political hurdles held up the sale.

Without the sale, TRAINOSE would have had to return more than 700 million euros in state aid to the European Union, forcing it to shut.

Privatizations are a condition of Greece’s latest international bailout but its protracted economic crisis has sapped investor interest.