Wabtec, GE Merge Transport Operations: $11.1 Billion Deal

PITTSBURGH, PA - Pittsburgh-based Wabtec and General Electric Co. announced Monday that the two companies will combine their transport operations in an $11.1 billion deal.

GE will receive $2.9 billion in cash from the Wabtec, or Westinghouse Air Brake Technologies Corp., which is headquartered in Wilmerding just outside of the city. The merger will create a transportation group with revenues of $8 billion and GE shareholders were hold 50.1 percent of the combined company.

"Wabtec and GE Transportation are global industry leaders and we believe that together we have a unique opportunity to drive tremendous growth in 2019 and beyond as the industry continues to improve," Wabtec CEO Ray Beter, who will remain in charge of the combined group, said in a statement. "By bringing together our highly complementary strengths we are confident that this transformational combination will create value for both Wabtec and GE shareholders, innovative solutions for our customers, and new outlets for long-term career growth for our employees."

Wabtec is a leading global provider of equipment, systems and value-added services for transit and freight rail. Through its subsidiaries, the company manufactures a range of products for locomotives, freight cars and passenger transit vehicles.

Wabtec also builds new switcher and commuter locomotives and provides aftermarket services. The company has roughly 18,000 employees and facilities worldwide.

GE Transportation is a global technology leader and supplier of equipment, services and digital solutions to the rail, mining, marine, stationary power and drilling industries. The company employs about 9,ooo people worldwide.

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