December 1, 2016 / 5:25 AM / a year ago

BRIEF-Wabtec buys majority ownership of Faiveley Transport; updates guidance

Dec 1 (Reuters) - Westinghouse Air Brake Technologies Corp

* Wabtec acquires majority ownership of faiveley transport; updates 2016 guidance, provides 2017 preliminary information

* Sees FY 2016 GAAP earnings per share $3.45 to $3.50

* Sees FY 2016 adjusted earnings per share $3.95 to $4.00 excluding items

* Sees FY 2016 revenue down about 10 percent

* Acquired majority ownership of Faiveley Transport S.A., after completing purchase of Faiveley family’s stake

* Says acquired family stake for about $212 million in cash and 6.3 million shares of Wabtec common stock

* Total deal price for 100 percent of shares of Faiveley transport is about $1.7 billion, including assumed debt and net of cash acquired

* Says $1.2 billion cash portion of transaction will be funded from about $325 million of cash on hand

* Says expects to realize at least $50 million in annual pre-tax synergies from combination by year three

* Says transaction will be accretive to Wabtec’s earnings per diluted share in 2017

* FY 2016 earnings per share view $4.02, revenue view $2.91 billion -- Thomson Reuters I/B/E/S

* Sees FY 2017 revenues to be about $4.2 billion; FY 2017 adjusted earnings per share to be about 8 percent higher than Co’s adjusted earnings in 2016 Source text for Eikon: Further company coverage:

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