Flix, a German mobility company, is set to disrupt the core business of established state-owned enterprises like Deutsche Bahn by acquiring 65 high-speed trains. The company’s CEO, André Schwämmlein, told the Handelsblatt that Flix aims to offer a comprehensive network and product that can compete with state-owned rail operators.
The new trains will enable Flix to expand its international services, with the CEO stating that the company wants to operate the same train across multiple countries. The bus division of Flix has reportedly generated the highest profits on these international routes.
Flix is financing the train acquisition through a mix of equity and loans, with the CEO emphasizing that the company is purchasing the trains in a regular manner, made possible by its strong financial balance sheet. In contrast, the company’s partners have previously owned and operated the buses and trains, with Flix positioning itself as a technology platform.