Hungarian Magyar Vagon hires Lazard and Garriga in its proposal for Talgo

Magyar Vagon, the Hungarian railway group which has been preparing for months for a public offer to acquire Talgo at €5 per share, is working with commercial bank Lazard on the financial aspects of the transaction, while Spanish law firm Garrigues is handling legal matters, according to several market sources consulted by EXPANSIÓN.

Trilantic, which controls Talgo through Pega

Magyar Vagon, the Hungarian railway group which has been preparing for months for a public offer to acquire Talgo at €5 per share, is working with commercial bank Lazard on the financial aspects of the transaction, while Spanish law firm Garrigues is handling legal matters, according to several market sources consulted by EXPANSIÓN.

Trilantic, which controls Talgo through Pegaso, has been pushing the deal for some time, although it is negotiating it directly and does not have financial advisers.

Talgo is one of the oldest private equity firms in Spain, as the firm, now headed by Javier Olascoaga, has remained a shareholder in the train manufacturer since March 2006. However, most of the capital gains have already been realized through the train manufacturer’s funds. IPO in 2015.

Citi will advise Talgo

Adviser to Talgo’s board of directors and the one responsible for providing a fairness opinion following the takeover bid is expected to be Citi, which has done work for the company in past transactions that did not materialize.