Spanish rolling stock manufacturer Talgo confirmed it has been approached with a bid from Hungarian holding company Ganz-Mavag Europe to acquire 100% of its shares.

According to Talgo CEO Gonzalo Urquijo Fernández de Araoz the company, and its parent firm Pegaso Transportation International, have “expressed… intention to accept the offer.”

But the Spanish government has stepped in with concerns over Ganz-Mavag Europe’s ownership and suspected links to Russia.

Transport Minister Óscar Puente said he intends to do “everything possible” to stop the acquisition over the concerns. The acquisition requires approval from the Madrid government due to its strategically important position to the Spanish state.

The issues stem from the owners of the Hungarian firm. Although 55% of Ganz-Mavag is owned by investor András Tombor’s Ganz-Mavag Holding, the remaining 45% is owned by Corvinus, a Hungarian state-owned investment vehicle. In Ganz-Mavag’s announcement of the bid it explained the parent company is “fully owned by the Hungarian State, whose ownership rights are exercised by the Ministry for National Economy of Hungary.”

Reports from Spanish media suggested the government is worried this link to Viktor Orbán’s government in Budapest could hint at backing from Russian sources, in violation of European sanctions on Moscow.