WERDOHL (dpa-AFX) - German transport services firm Vossloh Group (VOSSF.PK) Monday said it has signed a contract with Altus Capital Partners II, L.P. to acquire US rail infrastructure company Rocla Concrete Tie Inc.
The purchase price to be determined for the debt-free Company as at the day of completion is expected to be approximately $117.2 million.
Vossloh said its Supervisory Board has already approved the transaction. Completion of the acquisition is subject to merger control clearances and is expected at the beginning of 2017.
Denver, Colorado-based Rocla Concrete Tie is North America's leading manufacturer of concrete railway ties. The company also produces switch ties as well as concrete low vibration track blocks and crossing panels in several of its own plants in the USA and a production plant in Mexico. In fiscal year 2016 ended June 30, Rocla Concrete Tie generated sales of $88.2 million.
Vossloh noted that Rocla Concrete Tie will in future be run as a business unit 'Vossloh Tie Technology' within the Core Components division and will be the division's second Business unit alongside Vossloh Fastening Systems.
With Rocla Concrete Tie, Vossloh expects to strengthen its presence in the focus market USA and further expands ist position as a leading global rail infrastructure supplier.
Copyright RTT News/dpa-AFX