Hungarian Bid for Spanish Train Maker Talgo Scrapped Over Russia Ties

Hungary’s Ganz Mavag consortium has withdrawn its bid to acquire Spanish train manufacturer Talgo, citing the Spanish government’s rejection of the offer due to concerns about national security. The Spanish government, led by a leftist coalition, expressed anxieties over the Hungarian consortium’s close ties to Hungarian Prime Minister Viktor Orban, known for his close relationship with Russian President Vladimir Putin. Concerns were also raised about the consortium’s potential connection to Transmashholding, Russia’s largest rail equipment manufacturer. The Spanish government deemed Talgo a strategically important company, given its role in supplying Spain’s national railway network with high-speed trains and its access to sensitive infrastructure information. Ganz Mavag has announced plans to pursue legal action in Spain and the European Union seeking compensation for the blocked acquisition.