19.10.16
Groupe Eurotunnel to sell GB Railfreight
Groupe Eurotunnel (GET) has received a binding and irrevocable offer from EQT Infrastructure II for the potential acquisition of its subsidiary, GB Railfreight (GBRf).
If GET accepts the offer, it will use the profits to boost its core infrastructure and transport business, particularly through the delivery of the ElecLink Channel Tunnel electrical interconnector project.
GET bought GBRf in 2010 for £25m and has more than doubled its activities, leading to forecast revenues of approximately £125m.
Jacques Gounon, chair and CEO of Groupe Eurotunnel SE, said: “I am convinced that EQT is the right owner to take GB Railfreight to the next level, given their strong focus on growth and sustainable long term value creation.
“GBRf has been a great success, proving that significant value can be generated in this sector. On the strength of its results, the Group will continue to favour long term investments and shareholder return.”
The offer does not include GET’s French freight activity. The latest figures for the UK freight sector showed a significant decline in activity compared to the same point last year. DB Cargo announced yesterday that it is planning to cut up to 900 jobs.
After the UK voted to leave the EU in June, GET said the decision would not affect Eurotunnel services.
Have you got a story to tell? Would you like to become an RTM columnist? If so, click here.