DivestmentMay 21, 2026, 05:32 PM
Conduent Sells Public Transit Business to Modaxo for $164M
AI Summary
Conduent Incorporated announced it has entered into a definitive agreement to sell its Public Transit business, an operating unit of Conduent Transportation, to Modaxo for $164 million. The sale includes the Transit Fare Management and Fleet Management Solutions businesses. This transaction is expected to close before the end of 2026, subject to customary conditions and regulatory approvals, and is part of Conduent's strategy to simplify its portfolio and strengthen its financial foundation, while retaining its Tolling business segment.
Key Highlights
- Conduent's subsidiary, Conduent Business Services, LLC, agreed to sell its public transit and fare collection business to Modaxo USA Holdings, Inc. and Modaxo France Holdings SAS.
- The purchase price for the Transit Business is $164,000,000, subject to customary post-closing adjustments.
- Buyer will retain a $10,000,000 purchase price holdback for one year to secure NTA-related adjustments and indemnification claims.
- A $12,000,000 special holdback will be retained, with release dependent on certain customer target completion dates.
- The transaction is expected to close before the end of 2026, subject to regulatory approvals and other conditions.
- Conduent will retain ownership of its Tolling business segment.
- The divestment aligns with Conduent's strategy to simplify its portfolio, sharpen focus on core businesses, and strengthen its financial foundation.
Price Impact
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