Greece’s privatization agency TAIPED on Thursday announced that Italy’s state railway company Ferrovie dello Stato was the preferred investor for the acquisition of the 100 percent of the shares of rail company TRAINOSE.
The Italian railways last week had submitted an offer of 45 million euros.
“The privatization of TRAINOSE secures not only the viability of TRAINOSE, but more importantly, its further development”, TAIPED said in an announcement, pointing out that a process which began three years ago has now been completed. The Italian railways had submitted the sole binding bid for TRAINOSE.
If the sale did not proceed, Trainose would have had to return more than 700 million euros in state aid to the European Commission, which would have resulted to its closure.
“Ferrovie Dello Stato Italiane S.p.A. is the third largest railway company in Europe and is expected to transfuse its expertise and experience to TRAINOSE, integrating the Greek company in the pan-European rail map”, TAIPED said.
Railway services in Greece were not in operation the past week as employees of the Hellenic Railways Organization (OSE) and the Proastiakos suburban railway were protesting the government’s plan to privatize TRAINOSE, which operates all passenger and freight trains on OSE lines.
Privatizations are a condition of Greece’s latest international bailout.