The Talgo Group has accumulated a growth of 15.7% in the value of its shares since this morning its CEO Gonzalo Urquijo Fernández de Araoz informed the National Securities Market Commission (CNMV) of the interest of a Hungarian holding company in acquiring the 100% of the company. The latest valuation of each share is already at 4.5 euros when the Hungarian fund’s offer placed them at 5 euros. Talgo’s largest shareholder with 39% of its share capital is the North American fund Trilantic.
The statement sent by the CEO of Talgo confirmed that he has received “a preliminary expression of potential interest” by a Hungarian business group to formulate a public takeover bid (OPA) for all of the railway manufacturer’s shares at a price of 5 euros per share.
Talgo has stressed that “as far as it is aware”, there is no type of decision by said investor in relation to the possible takeover bid “nor certainty that it will continue analyzing the operation.”
At the time of the suspension, Talgo shares were trading at 3.92 euros, which means that, if the Hungarian group’s takeover bid materializes, the premium to shareholders for accepting the offer would now exceed 27.5%. But after the reactivation of the stock market valuation, Talgo shares have embarked on an upward race.
The Talgo Group yesterday presented the results for the third quarter of 2023 with a significant increase in income (+33.5%) going from the 352.2 registered in the first nine months of 2022 to the 470.3 announced yesterday. Throughout this year, Talgo has increased its order book by 1.9 billion euros, which brings its total order book to 4.9 billion, a record in the history of this Spanish railway company.