General Electric (NYSE: GE) is in talks to buy Alstom and an agreement may be announced as early as next week, according to a report from Bloomberg. People with knowledge of the matter told Bloomberg a potential transaction may value Alstom at about $13 billion.
The acquisition would be GE’s biggest ever and give the company control of Alstom’s technology for power transmission and power plant maintenance, according to Bloomberg. The deal could result in a separation of Alstom’s transport business, which manufactures high-speed TGV trains, to make obtaining the approval of the French government easier, Bloomberg was told.
GE Chief Executive Officer Jeffrey Immelt said this month GE would be looking to make acquisitions in the range of $1 billion to $4 billion and would spend more for targets “that have excellent values, strong synergies, fit our growth strategies and are immediately accretive,” Bloomberg reported.