Talgo received a preliminary expression of potential interest from a Hungarian business group regarding the possibility of a public takeover bid. The proposal valued the company at five euros per share. After the National Securities Market Commission was provided with privileged information, trading on Talgo’s shares was suspended during the first hour of the session. Despite the pause, Talgo’s stock has risen more than 14 percent on the market. In its statement, the company indicated that, to its knowledge, there is no binding decision that the investor will proceed with any takeover offer or related decision at this time.
Today, the largest shareholder in Talgo is a Luxembourg-based entity, Pegaso Transport International SCA, which holds 40 percent of the capital and is linked to Trilantic through indirect control. Following Pegaso, the Torrblas family investment company holds 5.03 percent. Trilantic and Torrblas are controlled by the Torrente Blasco family; Ana Patricia Torrente Blasco controls 57.4 percent of Trilantic shares. The Oriol family has a presence in Trilantic and is connected to Talgo’s origins and leadership through notable figures Carlos de Palacio and Oriol. Insurance company Santa Lucía also owns 2.85 percent of Talgo, a stake reduced from 5 percent earlier in the year, with the remainder distributed among Talgo board members and minority investors.
Related developments show that, prior to the CNMV’s morning suspension announcement, Talgo’s shares traded at 3.92 euros. Talgo went public in 2015 and has seen its valuation decline since an initial offering around 8 euros. The company has gained about 15.8 percent for the year, with notable peaks in May. Earlier in the same month, Talgo secured a major contract in Germany with Deutsche Bahn, valued at approximately 1.4 billion euros, for the production of up to 100 trains. In 2019, the company also secured its first order for 23 Talgo 230 high-speed trains, capable of speeds up to 230 kilometers per hour.
Talgo reported yesterday an improvement in its year-end outlook after posting a 68 percent rise in adjusted EBITDA for the first nine months. The order book reached its highest level for the year thanks to new contracts totaling around 1.9 billion euros, bringing the portfolio to about 4.2 billion. This figure exceeded the company’s own forecasts. One of the orders involves the production and modernization of locomotives and trains to replace Renfe’s 107 series. At the same time, Talgo’s revenue grew by about one third, reaching 470.3 million euros, with expectations that project execution will accelerate. Projects in the portfolio account for roughly 45 percent of the available reserves for the current year and for 2024, up from about 40 percent previously estimated.