May 19, 2017

Greenbrier Europe - Astra Rail merger approved

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INTERNATIONAL freight wagon supplier Greenbrier and Romanian wagon manufacturing, engineering and repair company Astra Rail have received all required regulatory approvals from relevant antitrust officials to merge Greenbrier Europe with Astra Rail, and the transaction will be completed on June 1.

Greenbrier says the transaction will combine the operations of both companies to create an end-to-end, Europe-based freight wagon manufacturing, engineering and repair business.

Principal operations will take place at Greenbrier Europe’s headquarters in Swidnica, Poland, and Astra Rail’s headquarters in Arad, Romania. Greenbrier-Astra Rail will also have its headquarters in the Netherlands, with 4000 employees and six production facilities across Europe.

Greenbrier will pay Astra Rail $US 30m when the deal is closed, and $US 30m 12 months after closing as partial consideration for its majority interest.

Greenbrier will have an approximate 75% interest in Greenbrier-Astra Rail while Astra Rail’s chairman Mr Thomas Manns will own the remainder of the company. In addition to his ownership stake, Manns will become chairman of the supervisory board and will lead the new company’s commercial operations, working closely with its management board and Mr Jim Cowan, the president of Greenbrier International.

Greenbrier also confirmed on May 1 that it has completed a transaction which increases its stake in South America’s largest wagon manufacturer Greenbrier-Maxion from 19.5% to 60%.

 

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