Strukton Rail will pay €32m for the shares, which are due to be transferred at the end of June. The transaction will be completed by June 2017 and a bank guarantee for the full purchase price will be provided as security.

CLF generated turnover of €150m last year, providing construction, renewal and maintenance services for heavy rail and light rail customers in Italy, Algeria, Bulgaria, Morocco, and Venezuela. The company employs around 600 staff covering a range of engineering disciplines including civil engineering, trackwork, electrification, signalling, and telecommunications.