Siemens closes MERMEC deal, with signaling at about 60% of acquired revenue

Siemens closes MERMEC deal, with signaling at about 60% of acquired revenue Siemens has completed its MERMEC acquisition, moving the Italian group’s key signaling, electrification and diagnostics businesses, with about 1,700 employees and €430 million in fiscal 2025 revenue, into Siemens Mobility. Siemens announced the completion on November 4, 2026, after receiving all required approvals. The agreement was signed in May, when the parties agreed not to disclose financial terms and Siemens expected closing by the end of calendar 2026. The acquired businesses serve customers in more than 70 countries. For scale, Siemens Mobility reported €12.4 billion in revenue and around 43,400 employees in fiscal 2025. Signaling generates most of the acquired revenue Siemens’ investor presentation on the deal puts signaling at about 60% of the acquired businesses’ revenue, diagnostics at about 30% and analytics and data infrastructure at about 10%. The breakdown is based on MERMEC reporting adjusted to the transaction perimeter. Italy accounted for about three-quarters of fiscal 2025 revenue, and the EBITDA margin was about 17%. The perimeter covers Italian wayside signaling, electrification, telecommunication, diagnostics and analytics. MERMEC was founded in 1970 and is headquartered in Monopoli. It supplies signaling systems for mainline networks, digital diagnostics technology and high-precision measurement trains. Which MERMEC units stay outside the deal The transaction excludes MERMEC’s investments in Angelstar S.r.l. and in Mont Saint Michel S.A.S., together with its subsidiary Compagnie des Signaux S.A.S. CSEE DE, the former MERMEC Deutschland, is also left out. When the deal was signed, Vito Pertosa, President of Angelo Holding, said he had formally been retired for nine months and that his children were pursuing their own companies. “For this reason, I sought a very solid group in the sector, in order to guarantee a secure future for my valued colleagues, who have contributed to making MERMEC the company it is today, wherever they may be.” Ferrosud site in Matera and the diagnostics offering MERMEC’s employees, industrial capabilities and all of its sites, including the Ferrosud site in Matera, are now part of Siemens Mobility. At signing, Siemens said Matera would become an industrial hub for next-generation diagnostics. Siemens plans to pair its own onboard and depot-based diagnostics and asset intelligence with MERMEC’s diagnostic vehicles, which carry measurement systems and software for infrastructure inspection. In Italy, it intends to combine MERMEC’s position in mainline infrastructure with its urban signaling expertise to support the upgrade and digitalization of the country’s rail network. Siemens expects the deal to add to earnings per share before purchase price allocation by the second year after closing, when the business should also sit within the target margin range of its Mobility unit. Italy’s rail investment pipeline in the Siemens deal case In its May presentation, Siemens pointed to plans by Italian state railway group FS Italiane to invest more than €170 billion through 2034, including a large-scale rollout of ERTMS. It put growth in Italy’s rail infrastructure market at 6% a year for 2025 to 2030.