Loram Pty Ltd., the wholly owned Australian subsidiary of Loram Maintenance of Way, Inc., has executed a binding agreement to acquire all the assets of the rail grinding business of Aurizon Operations Ltd. Upon completion, Loram will increase the number of Australian customers to which it provides rail grinding services by four, including all main line and turnout rail grinding for Aurizon Network Pty Ltd. Completion of the acquisition remains subject to certain conditions precedent.
“Loram’s continued global expansion as a respected leader in railway maintenance contract service operations is based on the principle that technology is global and service is local,” said Loram President and CEO Phil Homan. “While drawing upon our global technical expertise, Loram will deliver its customer service to Australian customers under the leadership of its Australia-based team from our office in Brisbane and strategic sites interstate.”
Loram is the original equipment manufacturer of Aurizon’s entire fleet of rail grinders and has “unmatched technical and operating expertise with its advanced equipment for customers in numerous countries,” the company said. The acquisition includes Loram’s newly built 120-stone RG419, expected to arrive later in 2019. Loram said the RG419 “will be the most productive rail grinder in the Southern Hemisphere.”
“Loram is proud to have served Aurizon as its rail grinding OEM for many years and is now looking forward to deepening our relationship as a contract service operator,” said Loram Pty Ltd. Managing Director Stephen Mannix. “There is a natural affinity between our people because both organizations share a commitment to safety and quality. We are pleased to offer continued employment to each affected employee and are hiring for new positions to support our growth. Loram recognizes substantial opportunities in the Australian rail market, and this acquisition positions Loram for significant growth. In addition to expanding this rail grinding business, Loram is committed to [addressing] customers’ challenges throughout Australia and developing Loram’s entire suite of innovative solutions to meet their unique needs.”
In addition to rail grinding, Loram delivers “innovative solutions for ballast maintenance, material handling, friction management, and automated track inspection.”