Wednesday, February 12, 2014

Wabtec to acquire Fandstan Electric

Written by  William C. Vantuono, Editor-in-Chief
In a cash deal worth approximately $215 million, Wabtec Corp. has signed a definitive agreement to acquire London, England-based Fandstan Electric Group Ltd.

Fandstan Electric, with annual sales of about $235 million, is a rail and industrial equipment manufacturer. The company designs, manufactures, and installs electrical current and data collection products for a variety of markets, including rail and tram transportation, industrial, and energy. The company’s highly engineered products include pantographs, third rail shoe gears, electrical contacts, and brush holders, and its brand names include Brecknell Willis, Stemmann Technik, and Transtech. Fandstan Electric has about 1,000 employees and operations in the U.K., Europe, China, Australia, and the U.S.

Wabtec expects the transaction to be completed in the first quarter of 2014, subject to customary closing conditions and competition authority clearance. As previously announced, Wabtec plans to release its 2013 fourth quarter and full-year results on Feb. 19, and it also plans to issue 2014 guidance, including Fandstan Electric, on the same day.

“Fandstan Electric will expand our high-technology content on transit vehicles and provide another entry into the infrastructure segment of the market,” said Wabtec Chairman and CEO Albert J. Neupaver. “In addition, the company has a strong presence in growing non-rail markets, and a well-established aftermarket, with an installed base in more than 100 countries around the world.”