Ad Here  
London Bridge is falling down Forget USA and UK for higher education Trade prospects promising When German consumers were paid for power consumed! The mid-air scare 2016 Year in review The lions roar to growth... The Japanese will rise again... A person will win. What the country might lose... Trump and Netanyahu rule the headlines The new state of terror Media’s Modi phobia... National Security @ the cost of Privacy Nuclear sabre-rattling takes centre stage China's might - India's Weakness East Asian and Indian Trump cards Bitten by the South American bug… A mixed shopping bag Of diversity and inclusion When Americans help yuan to emerge a reserve currency... 2015 Year in review Siemens-Mitsubishi rival GE’s bid For Alstom takeover Modi sharpens the look - east policy The story of the diminishing value of the pound Auto component exports to UK brighten Move forward in fast forward mode All talk and hopefully, all action In US he was excellent... Let’s copy paste Modi in Washington French elections and more End of an extravaganza Happy birthday, Sharief BBC stars in a vain vitriolic campaign Worldwatch Institute’s Vital Signs No longer a shining star Big O’s win Why the hell are we refusing to learn? A success? A failure? Or a fraud? And the Nobel goes to… Maggie melts Promise of 9 billion pounds in FDI Relentless hunt for trade deals... Trump unconcerned and immune to scandals A sense of oneness in a foreign land... Pakistan – the siege within Two weeks of Trump May on back foot, advantage India? Doklam, for the home theatre?
Siemens-Mitsubishi rival GE’s bid For Alstom takeover

With Siemens-Mitsubishi  putting up a competitive bid of Euro 9 billion (US $ 12.3 billion) for Alstom’s turbine business, the French government is asking the US energy giant GE to up its bid from the current US $ 12.4 billion for Alstom’s energy business to match the rival Siemens-Mitsubishi joint bid.

Alstom’s power business taken over by either GE or the Siemens-Mitsubishi conglomerate would also impact the French engineering firms’ Indian operations. Though the Alstom Projects India Ltd (APIL) is a 100 per cent owned subsidiary, the takeover will affect many of the joint ventures it has with state-owned companies.

Alstom has a joint venture with the state owned BHEL for transfer of technology in making super critical boilers. BHEL has similar joint ventures with Siemens for making steam turbines and with GE for making gas turbines. It’s a win-win situation for BHEL in terms of adopting frontline technologies in the spheres of critical functioning of the power sector – turbines and boilers.

Alstom survived greatly on its transport business worldwide and also in India. Alstom was the first to do the signalling and train communication contract for over Rs 600 crore for line one of Delhi Metro Rail Corporation. But subsequently it lost line two and three to the German competitor Siemens.

With orders flowing from Australia and rest of the world, Alstom covered up its losses by using its Baroda facility in India to outsource power equipment for projects. Alstom again made up for its losses in the transport business when it bagged the Chennai Metro project. Alstom was also responsible for doing a major rejig on the Shatabdi and Rajdhani coaches for the Indian Railways through its German acquisition LinkeHause and Busch (LHB) to make it world class.

Author :
Reported On :
Sector :
Shoulder :
IE, the business magazine from south was launched in 1968 and pioneered business journalism in south. Through the 45 years IE has been focusing on well-presented and well-researched articles. When giants in the industry stumbled to keep pace with the digital revolution, IE stayed affixed embracing technology.
Read more
Economist Communications Ltd is committed to ensuring that your privacy is protected.
Read more
You agree that your use of this Website and the purchase of the magazine will be governed by these terms and conditions.
Read more
S-15, Industrial Estate,
Chennai - 600 032.
PHONE: +91 44 22501236