Thales to sell signalling business to Hitachi in $2-billion deal

Paris: Thales SA, Europe’s largest defence electronics company, confirmed on Wednesday it was in advanced talks to sell its railway signalling business to Japan’s Hitachi NSE -0.35 % Ltd. in a deal that values the division at €1.66 billion (about $2 billion).

The sale comes as the French firm looks to streamline its sprawling operations and reassure investors of its focus on the core business of making high-tech equipment for the defence and aerospace industries.