Deutsche Bahn is shelving plans to sell shares in its British unit Arriva on the London Stock Exchange following Britain’s vote to leave the European Union. Germany’s state-owned railway Deutsche Bahn has put plans for a partial privatisation of Arriva and Schenker on ice due to Britain’s decision to exit the European Union, its chief executive Rüdiger Grube said, confirming media reports.
Deutsche Bahn’s management will tell the company’s supervisory board at a meeting on December 14 “We cannot recommend a stock market flotation based on the current assessments,” German news agency DPA quoted Ruediger Grube as saying.
He added that, if the share sale went ahead, “we would be throwing money out of the window, and acting that way would be foolish.”
Deutsche Bahn had planned to sell shares in British subsidiary Arriva and logistics unit Schenker to raise EUR 4.5 billion (USD 5 billion) to help service close to EUR 20 billion of debt.
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