Alstom plans to raise €1bn (£861m) to help cut its debt as the world’s second largest train maker struggles with delayed orders amid concerns about the future of its Derby factory. The Paris-listed company will tap investors with the aim of raising the funds by September. It also plans a €750m bond issue as part of a €2bn new finance plan. Alstom finances have been in the spotlight after clients, including some in Britain, delayed putting in orders, raising concerns over its cashflow and the future of its train factory in Derby. It bought the site from Canada’s Bombardier in 2021 in a deal that made it the world’s second largest train manufacturer after China’s CRRC. The slowdown in orders last year led to fears about staff at the plant as 1,300 jobs were put at risk. However, there are now hopes that operations at the historic site, where manufacturing has taken place since 1876, can be safeguarded. Last month the transport secretary, Mark Harper, met Alstom executives and announced that the UK’s Department for Transport had reached an “agreement in principle” with Alstom to support funding for a further five Elizabeth line trains, in addition to the five confirmed in March. He added that he was confident “a solution is now in sight”. Alstom has also been affected in the UK by uncertainty over an order for new trains for HS2, after Rishi Sunak scrapped the northern leg of the high-speed line initially proposed from London to Manchester. The trains were due to be built in Derby and at a Hitachi factory in Newton Aycliffe, County Durham. Alstom is also paring back its operations as part of the debt-cutting plan. The strategy has led to the sale of its stake in the railcar manufacturer TMH for €75m in January and offloading its North American signalling business to Knorr-Bremse for €630m in a deal that is expected to be completed this year. Alstom, announcing its full-year results, said its net debt position was at €2.99bn on 31 March compared with €2.13bn a year earlier. Alstom said it booked €18.9 bn of orders between 1 April 2023 and 31 March 2024 against €20.7bn the previous year. Adjusted net profit fell to €44m against €292m the previous year. Henri Poupart-Lafarge, the chair and chief executive, said: “Alstom recorded a strong rebound during the second half of the year, with solid order intake, strong organic growth, improved profitability and €562m free cashflow generation.” The UK government chose Derby in March to be the headquarters of its new rail regulator, Great British Railways, in part because of the city’s heritage. The Derby factory has built rolling stock for railways across the UK and most recently, London’s Elizabeth line.