In a strategic maneuver that’s poised to shake up the transport industry, German mobility and logistics giant Deutsche Bahn AG has announced the sale of its international transport unit, Arriva, to infrastructure investment powerhouse I Squared Capital. This move, valued at a staggering €1.6 billion ($1.69 billion), is set to redefine the landscape of European mobility.
Deutsche Bahn Biz Arriva sale : Shifting Gears
With the guiding hand of Freshfields Bruckhaus Deringer LLP for Deutsche Bahn and Skadden Arps Slate Meagher & Flom LLP for I Squared Capital, the sale underscores Deutsche Bahn’s commitment to honing its focus on core business objectives. The deal encompasses the entire portfolio of Arriva Group’s operational entities across ten European markets.
Arriva, a beacon of transportation diversity, offers services via buses, trains, coaches, trams, water buses, and bike-rental systems. Having been in Deutsche Bahn’s fold since 2010, it’s now poised to explore fresh horizons under new ownership.
A Vision for Rail and Sustainability
Levin Holle, the Chief Financial Officer of Deutsche Bahn, unveiled the grand design behind this monumental shift, stating, “The strategic goal of Deutsche Bahn is to make record-level investments in environmentally friendly rail in our core business, combined with the massive increase of investment of the German federal government into our German rail infrastructure.” The deal, therefore, aligns perfectly with the drive for a greener and more robust rail system in Germany.
I Squared: Energizing the Future
I Squared Capital, experts in the realms of transport, logistics, and decarbonization technologies, are renowned for their commitment to sustainable, long-term growth. They invest to steer the energy transition towards lower-carbon infrastructure. The acquisition of Arriva resonates with their vision.
