sinergie n. 85/11 Alliances and groupings in the local public transportation sector. A preliminary survey of strategic motivations ALESSANDRO DANOVI * DIMITRIS KARLETSOS ** Abstract This paper analyzes thirty-two cases including alliances, merger consortiums, acquisitions and partnerships between diverse major Italian companies in the Local Public Transportation Sector. In order to single out the principal trends, special attention has been paid to the aims of the players, their needs and the strategies implemented. The actions taken by the institutions and the competent authorities regarding the regulations have also had a very important role, mostly after the Law 422/97 (Decreto Burlando), that, by introducing transparent public selections, has forced Local Authorities to modify players’ strategies to become more efficient and sustainable by promoting, liberalizing and modernizing the service. The players, accustomed to a competition-free framework, have had to face the change by M&A processes establishing alliances and collaborations, proactively redefining their positions, to ward off the threats of liberalization. Key words: local public transportation; utilities; m&a in the public sector 1. Introduction Like other sectors in Italy, Local Public Transportation (LPT) has been characterized by a profound lack of change for many years. Only recently, after Act 422/97 (Decreto Burlando), has the basis for a broad reform of the sector been posed (Agostini, 2005). By entrusting services through public selections, the law has forced Local Authorities to seek new strategies in order to reach a sustainable level of efficiency, by simultaneously promoting, liberalizing and modernizing said services. * Associato di Economia e Gestione delle Imprese - Università degli Studi di Bergamo e-mail: Alessandro.danovi@unibg.it ** Cultore di Economia e Gestione delle Imprese - Università degli Studi di Bergamo The paper is part of a broader research project leaded by professor Danovi. As it is a work in progress comments are welcome. Conventionally the paragraphs from 1 to 3 and the conclusions of the paper may be attributed to A. Danovi; paragraphs from 4 to 6 to D. Karletsos