China's State-owned Assets Supervision and Administration Commission has approved the merger of China's top train makers CNR and CSR.
The merger now heads to the respective boards of both companies for approval next week.
The two state-owned companies will have a combined market cap of some 26-billion US dollars company.
CNR and CSR have signed a series of contracts worth more than 7-billion US dollars with Chinese and foreign firms since the start of the year.
For more on the merger, we're joined on the line by Gao Shang, analyst with Beijing-based Guantong Futures.
