Brunswick Rail, one of the leading private companies in the operational leasing of wagons in Russia, plans several mergers and acquisitions for 2014, told reporters Vladimir Khoroshilov the company’s Director of business development , reports ITAR-TASS .
He expects that by mid-2014, the number of companies interested in selling their rail businesses will be even greater, considering the negative market trends.
Brunswick Rail is involved in several ongoing m&a projects, but the information is confidential, Khoroshilov states.
Currently, on the freight wagons market there is significant surplus of rolling stock; according to various estimates on the railway network run from 200 thousand to 300 thousand “extra” wagons. As a result, the revenue rate of rolling stock leasing operators dropped to historic lows.
Brunswick Rail maintains its plans to increase the fleet of freight cars up to 40 thousand units in 2014. The company’s fleet consists of more than 24,000 current and most sought-after cars (according to November 2013, including the contracted delivery) purchased directly from the manufacturers as well as a result of transactions in the secondary market. Brunswick Rail wagons reflects the structure of the Russian economy, the demand for freight major industries, such as metallurgy, coal mining, chemicals, timber, oil and gas.