CZ/SK verze

The acquisition of SNCF subsidiary Ermewa is finished. SNCF sold Cargo Ermewa to Canadian and German investment funds of CDPQ and DWS.

The acquisition of SNCF subsidiary Ermewa is finished. SNCF sold Cargo Ermewa to Canadian and German investment funds of CDPQ and DWS.
photo: Ermewa press materials/Ermewa wagons
27 / 10 / 2021

Investment funds Caisse De Dépôt Et Placement Du Québec (CDPQ) and a fund managed by the DWS group (DWS) have finished the takeover of the SNCF subsidiary Ermewa. Following a competing sale process, SNCF entered exclusive mediations with the DWS – CDPQ consortium regarding the sale of the Ermewa Holding SAS. The price of the transaction should reach EUR 3.2 billion.

The outcome of the arrangement matches the fulfillment of the discussion with employee representatives within SNCF Group and Ermewa, and the approval of the required regulatory authorizations, including certain rivalry officials, including the European Commission, as well as the French Minister of the Economy, Finance, and Recovery.

“As Ermewa consolidates its leadership, it will play a key role in the transformation and decarbonization of freight transport, a priority consistent with our commitment of reducing the carbon intensity of our portfolio and more broadly of the economy,” Emmanuel Jaclot, the Executive Vice-President, and Head of Infrastructure at CDPQ said.

"Ermewa, which remains an important commercial partner of SNCF, will benefit from the support of long-term partners, ensuring the sustainability of the company’s activity,” Jean-Pierre Farandou, the CEO of SNCF stated. "This operation leads to a reduction of the SNCF group's net debt by c. €3.2bi (the price received for the sale of the shares, added to the Ermewa's own debt which will be assumed by the new shareholders) and will help achieve the objective of maintaining the SNCF group's financial trajectory", he added.

DWS and CDPQ have gained Ermewa on an equal-share, joint-control foundation. This lists the fourth acquisition for DWS’ third Pan-European-focused infrastructure strategy. The act also illustrates CDPQ’s maintained responsibility to rail mobility in Europe and internationally.

Ermewa employs 1,200 people and operates in a total of 80 countries, where it focuses primarily on the design, optimization, and management of strategic assets. Ermewa Group is headquartered in France. However, it has another forty international branches, where it offers its customers local expertise. The seat of the company for Eastern Europe is in Prague in the Czech Republic.

CDPQ and DWS have significant stakes in leading French companies. These are established investors who can finance the organic growth of the companies in which they invest. They also have a long-term value-creating investment approach based on careful asset management and active shareholding.

CDPQ is an institutional investor that manages several public and transnational pension plans and insurance schemes in Quebec. At the end of 2020, its net assets were CAD 365.5 billion. Formerly part of Deutsche Bank, the DWS Group is one of the world's leading asset managers. On the 31st of December 2020, it had assets of EUR  793 billion.

The SNFC Group is the world leader in passenger and freight transport, including the management of the French railway network. Its annual revenue in 2020 was EUR 30 billion. SNCF employs 272,000 people and operates in 120 countries. In addition, the SNCF Group is already in cooperation with DWS due to its subsidiary Akiem, which deals with the locomotive’s rental. CDPQ is a shareholder in Eurostar, a subsidiary of SNCF. CDPQ has also recently become Alstom's largest shareholder.