ROLLING stock leasing company GATX Rail Europe (GRE) says it has entered into a sale and leaseback agreement with DB Cargo involving the acquisition of approximately 6000 wagons.
Under the terms of the deal, which GRE expects will be finalised by the end of this year and subject to regulatory approval, GRE will acquire the wagons and lease them back to DB Cargo for “several years.”
The transaction, the value of which has not been disclosed, includes a wide range of wagon types. It is likely to assist DB Cargo’s attempts to return to profitability, which the European Union (EU) has required by 2026 to avoid action over what it deems to be illegal subsidy, which could result in the company being dismantled.
The deal is also likely to beneficial to DB Cargo’s parent company, German Rail (DB), which last month released lacklustre interim financial results.
As of June 30, GRE’s fleet consisted of approximately 30,500 wagons, which will expand to 36,500 when the DB Cargo deal is completed.
