Published by Global Banking & Finance Review®
Posted on February 13, 2025
2 min readLast updated: January 26, 2026
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Polish fund PFR withdraws its bid for Talgo after the Spanish government opposed it, prioritizing local employment and production.
MADRID (Reuters) - Polish state-owned fund PFR has dropped its plan to bid for Spanish train manufacturer Talgo after the Spanish government opposed the move, Expansion newspaper reported on Thursday, citing unnamed market sources.
A spokesperson for Economy Minister Carlos Cuerpo declined to comment on whether the government opposed the Polish bid.
Cuerpo told Polish newspaper Rzeczpospolita the government wanted future investors in Talgo to commit to keeping employment and production in Spain.
The Polish fund did not immediately respond to a request for comment.
PFR, which owns Polish train maker Pesa, said on Monday that it intended to bid for up to 100% of Talgo, sending the company's shares up 10% in three days to 4.31 euros ($4.50).
The PFR bid landed four days after a Basque consortium comprising shareholders of steelmaker Sidenor, the regional government and local bank Kutxabank had offered up to 4.80 euros per share for a 29.8% stake in Talgo.
The Polish fund was ready to pay 5 euros per Talgo share, Polish newspaper Dziennik Gazeta Prawna reported on Wednesday, matching the price offered last year by Hungarian consortium Ganz-Mavag.
The Spanish government in August blocked the Ganz-Mavag bid, saying it entailed risks to national security, public order and public health. It did not elaborate, though local media linked the government's veto to concerns over Hungarian Prime Minister Viktor Orban's close ties to Russia.
($1 = 0.9585 euros)
(Reporting by Inti Landauro and Alan Charlish; Editing by David Goodman)
The article discusses the Polish fund PFR's decision to drop its bid for Spanish train manufacturer Talgo due to opposition from the Spanish government.
The Spanish government opposed the bid to ensure future investors commit to maintaining employment and production in Spain.
PFR's bid caused Talgo's shares to rise by 10% over three days.
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