SMBC Rail Services buys American Railcar Leasing

Written by William C. Vantuono, Editor-in-Chief
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Sumitomo Mitsui Banking Corp (SMBC) announced Dec. 19 that its railcar operating lessor and fleet management business, SMBC Rail Services LLC (SMBC Rail), has signed an agreement to purchase American Railcar Leasing LLC (ARL) from Icahn Enterprises L.P.

The transaction will produce a full service lessor of rolling stock in North America, with a combined fleet of approximately 50,000+ railcars.  The expected close is in the first half of calendar year 2017.

SMBC Rail, a North American Railcar Lessor, headquartered in Chicago Il., was founded in 2006 as AIG Rail Services Inc. In May 2011 AIG Rail Services Inc. was purchased by Perella Weinberg Partners Asset Based Value Strategy Fund and transitioned to Flagship Rail Services LLC.

In December 2013 Flagship Rail was purchased by Sumitomo Mitsui Banking Corporation.

“The combined fleets of SMBC Rail and ARL is an example of two complementary businesses coming together to provide better solutions for our customers. This portfolio will be one of, if not the youngest, most efficient, diversified fleets in the industry” said, Gene Henneberry, President and Chief Executive Officer of SMBC Rail. “We look forward to serving and continuing to grow with our customers”.



Categories: Finance/Leasing, Freight Cars Tags: , , ,