Lucchini RS Group of Italy, and Unipart Group of the UK, announced the intention to create a joint venture in the UK covering the railway wheel, wheelset and bogies activities of both companies.
The new JV, to be called LUR Limited, will be formed from the current Lucchini UK Limited in its entirety, based in Manchester, England, and the wheelset and bogie overhaul activities of Unipart Rail Limited, based in Doncaster, England.
The JV is due to start operating from the 2nd February 2015. The new business will have an annual turnover of around £60m (EUR 75m) and employ over 300 people.
The two sites of Lucchini UK in Manchester and the bogie overhaul facility in Doncaster will remain, and in view of the complementary nature of the two businesses, the employees of both businesses will benefit from greater opportunities within the enlarged and strengthened entity.
“Through LUR our focus on product quality, service and innovation in the UK market will extend to the whole traction system. We will create strong synergies from the merging of these two already successful businesses,” Augusto Mensi, CEO of Lucchini RS Group, said.