With this acquisition, EuroMaint Rail is establishing itself as Europe's leading independent supplier of maintenance services for rolling stock.
Rail Service Management Group (RSM) has a turnover of EUR 94 million (2008) and employs approx. 800 people at twelve locations in Germany and Belgium. Via joint ventures, the company also has activities in Poland and the Netherlands. RSM offers maintenance services and refurbishment for all types of rolling stock for freight and passenger transport.
Private enterprises are taking over an increasingly larger part of the railway freight traffic in Germany. RSM has built up an important position in the German maintenance market in recent years by focusing on the maintenance of privately owned freight-related rolling stock.
"The maintenance of rolling stock for freight transport is in its nature pan-European, hence having a geographical network of technically qualified maintenance workshops is a crucial competitive advantage. We look forward to further expanding our European offerings to the freight traffic market," says Mats Önner, CEO of EuroMaint Rail.
EuroMaint Rail is Sweden's leading maintenance company for all types of rolling stock. The company has a turnover of EUR 210 million and employs 1400 people at thirteen locations in Sweden and in Jelgava, Latvia. EuroMaint Rail has a very strong position in the deregulated Swedish market for maintenance of railway rolling stock.
Through objective and proactive maintenance work, EuroMaint Rail increases the availability and reliability of the rolling stock of the operators. The company brings this experience with it as it now expands into the rest of Europe. Competition is increasing for passenger traffic, and with the help of RSM's resources EuroMaint Rail will be able to create an independent alternative in the market for maintenance - something that is lacking in Germany today.
"RSM is strong in the freight segment and via this acquisition we are also creating a platform from which to expand into maintenance of rolling stock for passenger traffic in Germany. We have a headstart because as an independent maintenance supplier we have been operating in a market that was deregulated early and hence in recent years have already established working relationships in our home market with the most important international operators," says Mats Önner.
In 2007 EuroMaint Rail became the world's first state-owned maintenance company for railway traffic to be privatised. The company is a part of the EuroMaint Group, which is owned by Ratos, a private equity company.
"The acquisition of RSM in Germany comprises the first large step in EuroMaint's international expansion. We see some good opportunities to make use of our business models and expertise concerning the maintenance of expensive production equipment in industrial and railway traffic applications, also in new geographical markets as well as in new lines of business," says Ole Kjörrefjord, CEO of the EuroMaint Group.
The transaction will be going into effect in January 2010 after approvals from the authorities concerned.
For more information, contact:
Mats Önner, CEO EuroMaint Rail, +46 (0)70 520 52 10
Ole Kjörrefjord, CEO EuroMaint Group, +46 (0)70 762 52 00