Wabtec acquires rail equipment manufacturer Nordco

Pittsburgh-headquartered rail technology provider Wabtec (NYSE: WAB) is acquiring Nordco, which supplies new, rebuilt and used maintenance-of-way equipment. Nordco, which had belonged to parent company Greenbriar Equity Group, also offers mobile railcar movers and ultrasonic rail flaw detection technologies.

The acquisition, worth $400 million in cash, has been finalized and received regulatory approvals, and the deal should close in the coming weeks, according to Pascal Schweitzer, vice president of services for Wabtec. Schweitzer is also president of Wabtec’s Freight Services group, which Nordco will integrate into following the acquisition. 

Wabtec’s acquisition of Nordco comes at a time when freight traffic is increasing and there is a focus on improving velocity and ensuring safety, Schweitzer told FreightWaves. This focus makes maintenance-of-way activities increasingly critical, and Wabtec has identified maintenance-of-way technology as a company priority and a way to position Wabtec into the growing railcar mover market,  he said.

“We complement each other very well and we put a lot of focus on growth, both domestically and internationally,” Schweitzer said.

The acquisition will provide Nordco’s offerings international exposure as Wabtec markets not only in North America but also in locations such as Brazil, Australia, Russia, the Commonwealth of Independent States and India, Schweitzer said.