Hitachi / Thales merger inquiry
Source: gov.uk (2025-06-03)

The Competition and Markets Authority (CMA) investigated the anticipated acquisition by Hitachi Rail, Ltd of Thales SA’s Ground Transportation Systems Business.

Phase 2

Contact

Please send written representations about any competition or public interest to xxx@xxx.xx (mailto:xxx@xxx.xx).

Administrative timetable

Referral date: 23 December 2022

Statutory deadline: 6 October 2023
- Administrative timetable (PDF, 104KB) (https://assets.publishing.service.gov.uk/media/64c13492d4051a00145a93fc/Administrative_timetable__July_2023__pdfa.pdf) (27.7.23)
Case closure summary

18 November 2024: On 31 July 2024, Hitachi Rail completed the sale of the divestment business to Mer Mec S.p.A.. This brings the merger investigation to a close.
- Case closure summary (PDF, 102KB) (https://assets.publishing.service.gov.uk/media/673afff2ed0fc07b53499a87/Hitachi_Thales_Closure_Summary.pdf) (18.11.24)
Remedy Group appointed

8 December 2023: The CMA has appointed the Remedy Group.

Stuart McIntosh (https://www.gov.uk/government/publications/cma-panel-member-biographies-and-disclosures-of-interest/inquiry-chairs-biographies#stuart-mcintosh) (Chair), Susan Hankey (https://www.gov.uk/government/publications/cma-panel-member-biographies-and-disclosures-of-interest/panel-members-biographies#susan-hankey), Sir Kenneth Parker (https://www.gov.uk/government/publications/cma-panel-member-biographies-and-disclosures-of-interest/panel-members-biographies#sir-kenneth-parker) and Karthik Subramanya (https://www.gov.uk/government/publications/cma-panel-member-biographies-and-disclosures-of-interest/panel-members-biographies#karthik-subramanya).

Final undertakings

7 December 2023: The CMA has accepted final undertakings and additional final undertakings, and the reference has now been fully determined.
- Notice to accept final undertakings (PDF, 142KB) (https://assets.publishing.service.gov.uk/media/6570841d809bc3001330818a/Notice_of_acceptance_of_final_undertakings.pdf) (7.12.23)
- Final undertakings (PDF, 477KB) (https://assets.publishing.service.gov.uk/media/6570844a746930000d488916/A._Final_undertakings.pdf) (7.12.23)
- Notice to accept additional final undertakings (PDF, 124KB) (https://assets.publishing.service.gov.uk/media/65708483809bc3000d308182/Notice_of_acceptance_of_additional_final_undertakings.pdf) (7.12.23)
- Additional final undertakings (PDF, 178KB) (https://assets.publishing.service.gov.uk/media/657084a67391350013b03c06/Additional_final_undertakings.pdf) (7.12.23)
- Appointment of monitoring trustee (PDF, 117KB) (https://assets.publishing.service.gov.uk/media/683dbfa3d23a62e5d32680e0/Hitachi_Thales_appointment_of_monitoring_trustee_.pdf) (3.6.25)
Amendments/consents granted (to December 2023 Final undertakings)
- Derogation 8 February 2024 (PDF, 115KB) (https://assets.publishing.service.gov.uk/media/65d62e9f2ab2b3001a759690/Derogation_8_February_2024.pdf) (22.2.24)
Direction to appoint a hold separate manager

22 November 2023: Pursuant to paragraph 3.5 of the interim undertakings offered by Hitachi Rail, Ltd on 3 August 2023, the CMA directed Hitachi Rail, Ltd to appoint a hold separate manager.
- Directions to appoint a hold separate manager (PDF, 183KB) (https://assets.publishing.service.gov.uk/media/6565d1f5888c06000dfa7e14/Directions_to_appoint_a_hold_separate_manager___.pdf) (29.11.2023)
Notice of proposal to accept final undertakings

17 November 2023: The CMA gives notice of the proposal to accept final undertakings and to accept additional final undertakings and is inviting comments on the proposed draft undertakings by 5pm on Friday 1 December 2023.

Notice of the proposal to accept final undertakings (PDF, 198KB) (https://assets.publishing.service.gov.uk/media/65560dad046ed400148b9a1d/A._Notice_of_Proposal_to_accept_Final_Undertakings.pdf) (17.11.2023)

Draft final undertakings (PDF, 516KB) (https://assets.publishing.service.gov.uk/media/65560dc3d03a8d000d07fa70/AA._Final_Undertakings.pdf) (17.11.2023)

Notice of the proposal to accept additional final undertakings (PDF, 143KB) (https://assets.publishing.service.gov.uk/media/65560ddcd03a8d000d07fa71/A._Notice_of_proposal_to_accept_Additional_Final_Undertakings.pdf) (17.11.2023)

Draft additional final undertakings (PDF, 186KB) (https://assets.publishing.service.gov.uk/media/65560e06046ed400148b9a1e/A.Additional_Final_Undertakings.pdf) (17.11.2023)

Final report

5 October 2023: The CMA has published the final report.
- Final report (PDF, 3281KB) (https://assets.publishing.service.gov.uk/media/651ed9447309a1000db0a948/Final_Report_5_Oct_prelim_1.pdf) (5.10.23)
- Appendices and glossary (PDF, 251KB) (https://assets.publishing.service.gov.uk/media/651ec8195f7e68000dfabe0a/Hitachi_Thales_-_Final_Report_Appendices_and_Glossary__FOR_PUBLICATION___1_.pdf) (5.10.23)
4 October 2023: The CMA has announced its final decision.
- Summary of final report (PDF, 218KB) (https://assets.publishing.service.gov.uk/media/651d0bddbef21800156decf8/Summary_of_the_final_report_3_pdfa.pdf) (4.10.23)
- Press notice: Hitachi Rail to sell part of mainline signalling business allowing merger to proceed (https://www.gov.uk/government/news/hitachi-rail-to-sell-part-of-mainline-signalling-business-allowing-merger-to-proceed) (4.10.23)
Responses to addendum provisional findings
- Third party response (PDF, 4092KB) (https://assets.publishing.service.gov.uk/media/64f5eacdfdc5d1000dfce5d9/Third_party_response_1.pdf) (5.9.23)
- Third party response (PDF, 108KB) (https://assets.publishing.service.gov.uk/media/64f5eaeb9ee0f2000db7be55/Third_party_response_2.pdf) (5.9.23)
Addendum provisional findings

23 August 2023: The addendum provisional findings outlines the Group’s revisions to the provisional SLC finding in the provisional findings report in relation to the supply of communications-based train control signalling systems in the UK. The CMA has provisionally concluded that the anticipated acquisition by Hitachi Rail, Ltd of Thales SA’s Ground Transportation Systems Business will not result in a substantial lessening of competition in relation to the supply of communications-based train control signalling systems in the UK.

Addendum provisional findings report (PDF, 432KB) (https://assets.publishing.service.gov.uk/media/64e5d5573309b7000d1c9cbd/A._Addendum_Provisional_Findings_Report.pdf) (23.8.23)

Notice of addendum provisional findings (PDF, 146KB) (https://assets.publishing.service.gov.uk/media/64e4c7653309b700121c9c7d/Notice_of_addendum_to_provisional_findings.pdf) (23.8.23)

Press release: CMA narrows scope of concerns in rail signalling merger (https://www.gov.uk/government/news/cma-updates-scope-of-concerns-in-rail-signalling-merger) (23.8.23)

Directions to appoint a monitoring trustee

8 August 2023: Pursuant to paragraph 3.5 of the interim undertakings offered by Hitachi Rail, Ltd on 3 August 2023, the CMA directed Hitachi Rail, Ltd to appoint a monitoring trustee.
- Directions to appoint a monitoring trustee (PDF, 141KB) (https://assets.publishing.service.gov.uk/media/64de342e60d123001332c6e3/Directions_to_appoint_a_monitoring_trustee____.pdf) (18.8.23)
Interim undertakings

3 August 2023: The CMA has accepted undertakings offered by Hitachi Rail, Ltd pursuant to section 80 of the Enterprise Act 2002 in relation to the anticipated acquisition by Hitachi Rail, Ltd of Thales SA’s Ground Transportation Systems Business.
- Hitachi Rail Interim undertakings (PDF, 1,006KB) (https://assets.publishing.service.gov.uk/media/64d34794667f34000db143c6/Hitachi_Rail_Interim_undertakings___.pdf) (10.8.23)
Amendments/consents granted (to August 2023 Interim Undertakings):
- Derogation 22 November (PDF, 128KB) (https://assets.publishing.service.gov.uk/media/6565d21162180b0012ce82e6/Derogation_22_November_2023___.pdf) (29.11.23)
Notice of extension of statutory period
- Notice of extension (PDF, 127 KB) (https://assets.publishing.service.gov.uk/media/64c1381d1e10bf000e17cf88/Notice_of_Extension.pdf) (27.7.23)
Responses to provisional findings

Parties’ joint response (PDF, 1,362KB) (https://assets.publishing.service.gov.uk/media/64b6a32061adff000d01b2de/Response_to_Provisional_Findings.pdf) (19.7.23)

RMT (PDF, 194KB) (https://assets.publishing.service.gov.uk/media/64b6a33871749c000d89eded/RMT_Union_response.pdf) (19.7.23)

Network Rail (PDF, 219KB) (https://assets.publishing.service.gov.uk/media/64b6a34c0ea2cb000d15e526/Network_rail_response.pdf) (19.7.23)

Responses to possible remedies
- Parties’ joint response (PDF, 547KB) (https://assets.publishing.service.gov.uk/media/64c13c94d4051a00145a9413/Parties__joint_response.pdf) (27.7.23)
- CAF (PDF, 303KB) (https://assets.publishing.service.gov.uk/media/64ac1c2bc933c1000cf9e038/CAF.pdf) (11.7.23)
- ORR (PDF, 333KB) (https://assets.publishing.service.gov.uk/media/64a42631c531eb000c64fe2f/ORR_s_response_to_the_CMA_s_Remedies_Notice.pdf) (4.7.23)
- Wabtec (PDF, 222 KB) (https://assets.publishing.service.gov.uk/media/64c13eadd4051a000d5a9466/Wabtec_.pdf) (27.7.23)
- Parties’ observations on ORR Remedies Submission (PDF, 546KB) (https://assets.publishing.service.gov.uk/media/64edaccc6bc96d000d4ed1a8/Observations_on_ORR_Remedies_Submission_.pdf) (30.8.23)
- Parties’ observations on third party submissions (PDF, 434KB) (https://assets.publishing.service.gov.uk/media/64edad3f13ae15000d6e2f37/Observations_on_third_party_submissions__.pdf) (30.8.23)
Provisional findings

8 June 2023: The CMA has provisionally found competition concerns as part of its in-depth investigation of the anticipated acquisition by Hitachi Rail, Ltd of Thales SA’s Ground Transportation Systems Business.
- Provisional findings report (PDF, 2.97 MB) (https://assets.publishing.service.gov.uk/media/648706a1b32b9e0012a965ca/Hitachi.Thales_-_Provisional_Findings.pdf) (12.6.23)
- Appendices and Glossary (PDF, 216 KB) (https://assets.publishing.service.gov.uk/media/648300eb103ca6000c039beb/Appendices_and_Glossary.pdf) (12.6.23)
- Summary of provisional findings (PDF, 179KB) (https://assets.publishing.service.gov.uk/media/6480e35a5f7bb7000c7fa6a8/Summary_of_provisional_findings.pdf) (8.6.23)
- Notice of provisional findings (PDF, 138KB) (https://assets.publishing.service.gov.uk/media/6480e392103ca60013039b64/Notice_of_provisional_findings.pdf) (8.6.23)
- Notice possible remedies (PDF, 311KB) (https://assets.publishing.service.gov.uk/media/6480e33c5f7bb7000c7fa6a7/Notice_possible_remedies.pdf) (8.6.23)
- Press notice: Merger could mean Network Rail and TfL lose out on digital signalling options (https://www.gov.uk/government/news/merger-could-mean-network-rail-and-tfl-lose-out-on-digital-signalling-options) (8.6.23)
Parties’ voluntary submissions

The Parties made voluntary submissions on various competition issues being investigated in the inquiry.
- Parties’ observations on ORR’s submission (PDF, 224 KB) (https://assets.publishing.service.gov.uk/media/6465f29ce140700013b6e1bb/Parties__observations_on_ORR_s_submission_.pdf) (18.5.23)
- Parties’ submission on competitive conditions for assessment of mainline digital resignalling projects (PDF, 1.80 MB) (https://assets.publishing.service.gov.uk/media/642da8717de82b0012313701/Case_ME_6971_21_-_Submission_on_Competitive_Conditions_-_NCV_-_confidential_Redacted.pdf) (6.4.23)
- Parties’ submission on CBTC signalling projects for metros in the UK (PDF, 292 KB) (https://assets.publishing.service.gov.uk/media/642da97cddf8ad000cac0ebf/Case_ME_6971_21_-_Submission_on_CBTC_-_NCV_for_Publication_10255914581.1_.pdf) (6.4.23)
- Parties’ submission on ETCS projects (PDF, 2.34 MB) (https://assets.publishing.service.gov.uk/media/642da9d77de82b000c313732/Case_ME_6971_21_-_Submission_on_ETCS_-_NCV_for_Publication_10255913223.2_.pdf) (6.4.23)
- Parties’ submission on OCS projects (PDF, 285 KB) (https://assets.publishing.service.gov.uk/media/642dabb7fbe620000f17dd92/Case_ME_6971_21_-_Submission_on_OCS_Projects_-_NCV_for_Publication_10255869169.2_.pdf) (6.4.23)
- Parties’ submission on Benefits of the Merger (PDF, 1,633KB) (https://assets.publishing.service.gov.uk/media/643e7b6f6dda69000c11df54/Parties__submission_on_Benefits_of_the_Merger.pdf) (19.4.23)
- Parties’ submission on competitive effects of the transaction on TCSF (PDF, 2,675KB) (https://assets.publishing.service.gov.uk/media/643e7b888b86bb0013f1b40a/Parties__submission_on_competitive_effects_of_the_transaction_on_TCSF.pdf) (19.4.23)
ORR submission

The Office of Rail and Road has made a voluntary submission to the CMA on various competition issues being investigated in the inquiry.
- ORR voluntary submissions (PDF, 355 KB) (https://assets.publishing.service.gov.uk/media/642e8dc8ddf8ad000cac0edb/ORR_final_CMA_version_redacted.pdf) (6.4.23)
Initial submissions made by the parties

The Parties have provided their initial submissions on what they consider to be the key points for consideration by the phase 2 Inquiry Group.
- Initial submission made by the parties (PDF, 525 KB) (https://assets.publishing.service.gov.uk/media/63e0d1aae90e076266ed4278/INITIAL_SUBMISSION__to_Inquiry_Group_-_Redacted_NCV_Redacted__.pdf) (6.2.23)
Issues statement

17 January 2023: The issues statement sets out the scope of the inquiry. It outlines initial theories on what might be adversely affecting competition, but it does not set out findings or conclusions. The deadline for submissions on the issues statement is 5:00pm, 31 January 2023.
- Issues statement (PDF, 253KB) (https://assets.publishing.service.gov.uk/media/63c5632ad3bf7f5809820ec5/Hitachi_Thales_-_Issues_Statement_FINAL_For_Publication.pdf) (17.1.23)
Notice of extension of inquiry period

Notices of termination extension under section 39 (4) of the Enterprise Act for failure to respond to the questions issued under s109 of the Enterprise Act with a deadline of 12 January 2023.
- Termination of extension under Section 39(4) timetable, Hitachi (PDF, 122KB) (https://assets.publishing.service.gov.uk/media/640f41d9e90e076ccb3d77cb/HITACHI_notice_of_termination_of_extension_12_Jan_s109-.pdf) (14.3.23)
- Termination of extension under Section 39(4) timetable, Thales (PDF, 122KB) (https://assets.publishing.service.gov.uk/media/640f40ddd3bf7f02f4c76851/Thales_-_notice_of_termination_of_extension_12_Jan.pdf) (14.3.23)
Notices of termination of extension under section 39 (4) of the Enterprise Act for failure to respond to the questions issued under s109 of the Enterprise Act with a deadline of 6 January of 2023.
- Termination of extension under Section 39(4) timetable, Hitachi (PDF, 121KB) (https://assets.publishing.service.gov.uk/media/640f40068fa8f55611a84cce/HITACHI_notice_of_termination_of_extension_6_Jan_s109_.pdf) (14.3.23)
- Termination of extension under Section 39(4) timetable, Thales (PDF, 122KB) (https://assets.publishing.service.gov.uk/media/640f3d678fa8f5560f2ebdd5/Thales_-_notice_of_termination_of_extension_6_Jan.pdf) (14.3.23)
Notices of extension under section 39 (4) of the Enterprise Act for failure to respond to the questions issued under s109 of the Enterprise Act with a deadline of 12 January 2023.
- Notice of extension under Section 39(4) timetable (Hitachi) (PDF, 98 KB) (https://assets.publishing.service.gov.uk/media/63c13a898fa8f516a43c3bfc/Notice_of_extension_section_39_4___Hitachi_.pdf) (13.1.23)
- Notice of extension under Section 39(4) timetable (Thales) (PDF, 98 KB) (https://assets.publishing.service.gov.uk/media/63c13bd8d3bf7f7dbb1d0ccb/Notice_of_extension_section_39_4___Thales_.pdf) (13.1.23)
Notices of extension under section 39 (4) of the Enterprise Act for failure to respond to the questions issued under s109 of the Enterprise Act with a deadline of 6 January of 2023.
- Notice of extension under Section 39(4) timetable (Hitachi) (PDF, 110KB) (https://assets.publishing.service.gov.uk/media/63bbe7ae8fa8f55e3ac750ab/Notice_of_extension_section_39_4___Hitachi_09.pdf) (9.1.23)
- Notice of extension under Section 39(4) timetable (Thales) (PDF, 110KB) (https://assets.publishing.service.gov.uk/media/63bbe7c7d3bf7f263af42634/Notice_of_extension_section_39_4___Thales_09.pdf) (9.1.23)
Inquiry group appointed

23 December 2022: The CMA has appointed the inquiry group.

Stuart McIntosh (https://www.gov.uk/government/publications/cma-panel-member-biographies-and-disclosures-of-interest/inquiry-chairs-biographies#stuart-mcintosh), Susan Hankey (https://www.gov.uk/government/publications/cma-panel-member-biographies-and-disclosures-of-interest/panel-members-biographies#susan-hankey), Sir Kenneth Parker (https://www.gov.uk/government/publications/cma-panel-member-biographies-and-disclosures-of-interest/panel-members-biographies#sir-kenneth-parker) and Karthik Subramanya (https://www.gov.uk/government/publications/cma-panel-member-biographies-and-disclosures-of-interest/panel-members-biographies#karthik-subramanya).

Terms of reference

23 December 2022: The CMA has referred the anticipated acquisition by Hitachi Rail, Ltd of Thales SA’s Ground Transportation Systems Business, for an in-depth investigation.
- Terms of reference (PDF, 103 KB) (https://assets.publishing.service.gov.uk/media/63a32a85d3bf7f37573a1c78/Hitachi_-_Thales_-_Terms_of_Reference_.pdf) (23.12.22)
Statutory timetable

Phase 1

Reference decision

23 December 2022: The CMA has referred the anticipated acquisition by Hitachi Rail, Ltd of Thales SA’s Ground Transportation Systems Business, for an in-depth investigation, on the basis that, on the information currently available to it, it is or may be the case that this merger may be expected to result in a substantial lessening of competition within a market or markets in the United Kingdom.
- Decision to refer (PDF, 107 KB) (https://assets.publishing.service.gov.uk/media/63a32ac3d3bf7f37573a1c79/Hitachi_-_Thales_-_Decision_to_Refer.pdf) (23.12.22)
Reference unless undertakings accepted

9 December 2022: The CMA has decided, on the information currently available to it, that it is or may be the case that this merger may be expected to result in a substantial lessening of competition within a market or markets in the United Kingdom. This merger will be referred for a phase 2 investigation unless the parties offer acceptable undertakings to address these competition concerns.
- Full text decision (PDF, 979KB) (https://assets.publishing.service.gov.uk/media/63c56349e90e074eefce1558/Hitachi.Thales_decision_PUBLIC_VERSION.pdf) (17.1.23)
- Summary of phase 1 decision (PDF, 138 KB) (https://assets.publishing.service.gov.uk/media/6392f61c8fa8f546dbb447fc/Hitachi.Thales_summary.pdf) (9.12.22)
- Press release: Rail signalling deal could push up fares for passengers (https://www.gov.uk/government/news/rail-signalling-deal-could-push-up-fares-for-passengers)
Launch of merger inquiry

14 October 2022: The CMA announced the launch of its merger inquiry by notice to the parties.
- Commencement notice (https://assets.publishing.service.gov.uk/media/634811158fa8f5346177c35e/Hitachi_-_Thales_-_Commencement_Notice.pdf) (14.10.22)
Invitation to comment: now closed

14 October 2022: The CMA is considering whether it is or may be the case that this transaction, if carried into effect, will result in the creation of a relevant merger situation under the merger provisions of the Enterprise Act 2002 and, if so, whether the creation of that situation may be expected to result in a substantial lessening of competition within any market or markets in the United Kingdom for goods or services.

To assist it with this assessment, the CMA invited comments on the transaction from any interested party.