Elliott Intends Not to Tender its Shares in Ansaldo STS

Elliott announced today that it believes Hitachi Rail Italy Investment's EUR 9.50 per share offer for STS significantly undervalues the company and therefore intends not to tender its shares.  

STS is a unique strategic asset with products and technologies in TMS, signaling, ERTMS and driverless mass transport systems, poised to benefit from increased adoption and urbanization trends. The Company has a track record of growth further evidenced by recent contract wins.

Elliott believes the combination of STS and Hitachi Rail's complementary geographical exposures, product portfolios and competencies will create a leading integrated player in the global rail market, able to compete for larger contracts, increase operational efficiencies and leverage cross selling opportunities leading to higher market shares across geographies.

It is in Elliott's opinion that these benefits will create additional shareholder value and that value is not reflected in Hitachi's current offer price. For that reason the Company says that it does not intend to tender its shares. Elliott stated that it hopes other STS shareholders will not tender their shares and that the Company remains listed allowing all shareholders to benefit from the value creation that it expect from the combination.