USA: FreightCar America has acquired family-owned Carly Railcar Components, which distributes OEM wagon components and operates a core-exchange programme for reconditioned parts.
The wagon manufacturer said this would strengthen its aftermarket distribution business, with a focus on running-repair components, a frequently replaced and highly recurring product category that complements its core offerings, and would enable customers will benefit from reduced lead times and a larger catalogue of ready-to-ship parts.
‘CRC’s long-standing presence in component distribution and its established regional footprint, including a Houston-area facility in Orange, Texas, enhances our ability to serve customers with greater speed, reliability and product availability. This acquisition advances our strategic initiatives to build complementary capabilities that deliver enhanced value to our customers’, said FreightCar America President & CEO Nicholas Randall on December 22.
CFO Mike Riordan said ‘CRC has built a strong business with deep customer relationships. Combining their capabilities with our commercial and supply chain excellence will allow us to deliver exceptional value to our customers, while at the same time allowing us to realise meaningful operational improvements across the combined network. This acquisition is consistent with our disciplined capital allocation framework and is expected to be immediately accretive to FreightCar America as we scale our aftermarket business.’
