August 06, 2018

Mutares to acquire Knorr-Bremse RailServices and Kiepe Electric

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The agreement covers the full takeover of Knorr-Bremse’s vehicle services business in Britain. The agreement covers the full takeover of Knorr-Bremse’s vehicle services business in Britain.

KNORR-Bremse announced on August 6 it will sell its British-based businesses, Knorr-Bremse RailServices and Kiepe Electric, to Munich-based holding company, Mutares, with closing expected by autumn 2018.

 

The agreement covers the full takeover of Knorr-Bremse’s vehicle services business in Britain, including both Knorr-Bremse RailServices’ sites in Wolverton (Milton Keynes) and Springburn (Glasgow) and the Kiepe Electric facilities in Birmingham. The components and aftermarket business in Britain will be continued by Knorr-Bremse Rail Systems.

 

Knorr-Bremse took over the Wolverton and Springburn sites when it acquired Railcare in 2013, and signed a contract to purchase Kiepe from Vossloh on December 21, 2016.

Mutares is a holding company that typically acquires companies or divisions that are no longer part of the core business of a larger corporation, specialising in increasing production efficiency, leveraging synergies and enabling growth.

Knorr-Bremse says the deal includes commercial agreements for the continuity of service to customers and to ensure long term collaboration between Knorr-Bremse and the businesses on future opportunities. The businesses will be renamed shortly, in line with the strategic approach of Mutares.

“With this step, we are continuing our ongoing efforts to realign our strategic focus on core competencies as a key supplier for the railway industry, offering subsystems, components and all related services,” says Mr Klaus Deller, chairman of the executive board of Knorr-Bremse and responsible for the Rail Vehicle Systems division. “We are very pleased to have come to an agreement with Mutares - an agreement that will create significant added value for the divested businesses.”

“RailServices and Kiepe Electric hold a unique market position in the UK, providing excellent expert services and know-how for the railway industry,” says Mutares CEO, Mr Robin Laik. “Both companies have strong growth potential and are an ideal match for our ongoing operations. Mutares possesses expert knowledge in how to utilise the strong potential of both entities and allow profitable growth for Knorr-Bremse RailServices UK and Kiepe Electric UK.”

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