The consortium of DWS Alternatives Global Limited and Caisse de dépôt et placement du Québec (CDPQ) has completed the acquisition of SNCF subsidiary Ermewa.
The completion of the transaction follows the completion of the customary consultation with employee representative bodies within SNCF Group and Ermewa, and the confirmation of the required regulatory authorisations, including of certain competition authorities, including the European Commission, and the French Minister of the Economy, Finance and the Recovery.
DWS and CDPQ have acquired Ermewa on an equal-share, joint-control basis. This marks the fourth acquisition for DWS’ third Pan-European focused infrastructure strategy. The transaction also demonstrates CDPQ’s continued commitment to rail mobility in Europe and internationally.
“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,” Emmanuel Jaclot, the Executive Vice-President and Head of Infrastructure at CDPQ said.
The transaction determines a reduction of the SNCF group’s net debt by EUR 3.2 billion. “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. Ermewa, which remains an important commercial partner of SNCF, will benefit from the support of long-term partners, ensuring the sustainability of the company’s activity,” Jean-Pierre Farandou, the CEO of SNCF said.
Following a competitive auction process, SNCF entered exclusive negotiations with DWS – CDPQ consortium to the sale of Ermewa Holding SAS. The transaction is estimated at EUR 3 billion.
With revenues of EUR 489 million, EBITDA of EUR 271 million in 2020, a fleet of 100,000 assets and 1,200 employees, Ermewa Group is a leading provider of industrial railcars and tank containers leasing services. serving over 1,000 customers in 80 countries and with 40 international offices, the company specialises in designing, optimising and managing strategic assets for the global supply chain.
With its headquarters in France, the company offers local expertise to customers from industries as diverse as steel, energy, construction, chemicals, food and beverages, as well as logistic companies and freight forwarders.