SNCF sells Ermewa

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INTERMODAL • SNCF’S DIVESTMENT OF ERMEWA DEMOSTRATES ONCE MORE THAT THERE IS APPETITE AMONG INVESTORS FOR RELIABLE INCOME FROM TRANSPORT ASSET LEASING

SNCF, THE FRENCH rail conglomerate, has finalised the anticipated sale of its Ermewa division, which offers leasing services in the tank container and rail sectors. Ermewa, which includes the Eurotainer and Raffles Lease tank container leasing companies, has been sold in a 50/50 deal to Germany-based DWS Group and the Canadian investment group Caisse de dépôt et placement du Québec (CDPQ). The two buyers have paid a total of €3.2bn, which includes assumed debt.

Ermewa has a total of 100,000 assets in rail and intermodal service and more than 1,000 clients in 80 countries. It operates from 40 offices around the world, specialising in the design, optimisation and management of strategic assets for the global supply chain. Based in France, it serves a range of clients in the steel, energy, construction, chemicals, food and beverage industries, as well as logistics providers and freight forwarders.

Speaking at the announcement of the divestment, Jean-Pierre Farandou, chairman/ CEO of SNCF, said: “The sale of Ermewa is fully in line with the SNCF Group’s strategy to become a world leader in sustainable mobility for passengers and goods.” He also noted that Ermewa will remain an important commercial partner of SCNF and will benefit from the support of long-term partners. The cash received from the sale will also, Farandou said, “help achieve the objective of maintaining the SNCF Group’s financial trajectory”.

David Zindo, president of Ermewa Holding, said: “With CDPQ and DWS now effectively on board, Ermewa is set to fully express its potential in the coming years. Robust and decarbonised logistic chains are vital, and we believe our rail car and tank container leasing and maintenance services will play an important role. Our strategic focus remains on growth, innovation, safety, and customeroriented solutions, and will go intensified with the support of CDPQ and DWS.”

WHAT THE BUYERS WANT The acquisition is the fourth under DWS’s Pan-European Infrastructure Fund III. Hamish Mackenzie, head of infrastructure at DWS, said: “We look forward to working with Ermewa’s highly experienced management team alongside our active partner CDPQ to unlock Ermewa’s full potential and ambitions in the European railcar and global tank container markets. We are pleased to continue our strong relationship with SNCF through this transaction, demonstrating trust in our ability to drive value through active asset management and partnership approach.”

The transaction also demonstrates CDPQ’s continued commitment to rail mobility in Europe and internationally. Emmanuel Jaclot, executive vice-president and head of infrastructure at CDPQ, said: “CDPQ is excited to get to work with DWS and Ermewa’s talented teams in order to propel the company into the next phase of its growth. As Ermewa consolidates its leadership, it will play a key role in the transformation and decarbonisation of freight transport, a priority consistent with our commitment of reducing the carbon intensity of our portfolio and more broadly of the economy. We also thank SNCF for its trust and are looking forward to continuing our durable partnership.” www.ermewa.com | www.sncf.com