The deal includes an option to convert an additional six trains which if exercised will increase the value of the contract to €151m.
The contract covers the conversion of 156 coaches initially, while the option would involve another 72 coaches.
Series 7 trains were the first to be designed by Talgo for operation on high-speed lines in Spain and were operated by Renfe as hotel trains to provide long-distance overnight services. However, with the expansion of the high-speed network, Renfe has gradually cut back its overnight services, and now only operates three domestic hotel trains.
The trains were originally designed for 220km/h operation, and have variable-gauge wheelsets allowing them to switch automatically and without stopping between 1435mm gauge on the high-speed network and 1668mm on the conventional network.
In March, Renfe and the Ministry of Development are expected to unveil a €2bn rolling stock investment plan covering the period 2017-2028, which could include the purchase of more high-speed trains.