Wabtec to buy Standard Car Truck
SCT: Wabtec Corp announced on September 15 that it had signed a definitive agreement to acquire wagon bogie and locomotive component manufacturer Standard Car Truck for $300m in cash.
Based at Park Ridge in Illinois, Standard Car Truck has annual sales of about $225m, including the Barber range of bogie parts. It has 550 employees at nine manufacturing plants in the USA, as well as a research and development site in Britain and offices in Malaysia for low-cost sourcing from other manufacturers.
Wabtec said it expects the transaction to be completed in the fourth quarter, and to be accretive in the first year. It will finance the transaction using a new $500m credit facility; the co-lead arrangers are PNC Capital Markets, JP Morgan Securities and RBS Greenwich Capital.