Wednesday 21 October 2020

S-2972-5 RS RAIL INFRASTRUCTURE COMPANIES Acquisition Opportunity – USA

Rail Infrastructure Companies

Acquisition Opportunity – USA



 

These 4 companies represent a unique opportunity to gain a dominant position in rail construction, maintenance and track services by acquiring the platform and 3 add-on companies with operations in 3 of the United States largest states. 

 

The Platform Company provides railroad track engineering, construction, maintenance, rehabilitation and inspection services throughout the western United States and is the preferred company for rail design and construction on the West Coast as well as for providing support operations including railroad services, industry specific specialized equipment, with qualified industry professionals.  The company has clients in both the public and private sector and works primarily in light rail transit, energy, port, short line freight railroads, energy, refuse disposal, grain, food sectors, building products, mining and transload sectors.

 

Add-on #1, is a railroad construction and maintenance company, based in the Midwest this company provides new railroad track construction and track maintenance for private industrial rail clients and short line railroads.  In addition, the company provides services for railcar switching operations and 24/7 on-call emergency track assistance and track repair for private industrial rail clients and short line railroads. Approximately 80% of the Company’s work is railroad track maintenance with 20% new railroad construction.  

 

The 2nd add-on opportunity is a Western US based railroad contractor that provides railroad track construction and maintenance for private industrial rail clients, Class I Railroads and Short Line Railroads, primarily in California. The company completes more than fifty projects a year providing for repeat clients include ADM, BASF, Cargill, Cemex, Chevron, Disneyland Resorts, ExxonMobil, Frito Lay, Martin Marietta, Mitsubishi among many others.  The manufacturing and processing markets use rail as a primary form of transport. These customers provide recurring and scalable revenues for a buyer. 

 

Add-on #3 is a company that provides railroad excavating and surface construction as well as railroad maintenance and support services to Class 1 freight rail networks.  As a result of its service, reputation and dependability, the company operates under ongoing term contracts. The Company services Class I rail systems in 14 states.

 

 

Combined Financial Summary ($ millions) for all 4 companies

 

2020 Est by Seller

2019

2018

Revenue

$ 37.3 M

$ 39.54M

$ 33.85 M

Adjusted EBITDA

$5.21 M

$4.14M

$2.97 M

 

Other Highlights

Financials

Management Team in Place

Years in Business

SIC

 

Available

Yes

35 +

1629

 

 

 

 

 

 Direct inquiries to:


Gottesman Company

 Refer to:  S-2972-5 RS

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