Portchester Equity Ltd (PEL) has acquired Derby-based Yellow Rail Ltd, a £15m turnover rail engineering service company, strengthening its rail portfolio in the UK rail sector.
PEL is committed to the rail sector and increasing capability and service offering to passenger and freight customers, through its financial strength and by optimising existing PEL rail assets (W.H. Davis and Davis Wagon Services).
This acquisition creates strong synergies with the existing rail assets, well-established business relationships and highly complementary portfolios in the areas of freight wagon maintenance, freight field services and material supply services.
Enhancements to the portfolio through the acquisition include the introduction of rail services to the passenger sector, engineering design services, bogie overhaul and repair services and wheel lathe systems and services.
Yellow Rail will benefit from access to the rail-connected facility at Shirebrook on the Robin Hood mainline for the new acquisition, for both passenger and freight projects, whilst ensuring W.H. Davis continues its full commitment to freight wagon building and re-purposing activities.
This acquisition is a significant step up for the group of companies, now able to offer more ambitious services to the market, underpinned by the PEL financial strength and the integrated capability and geographical presence of the three companies.
Paul Bragg, Managing Director of PEL responsible for leading the acquisition, says: “This is a perfect fit within our multi-industrial manufacturing side of the group, where we will be able to improve our capability to passenger and rail customers.”
Andy Kevins, Managing Director of Yellow Rail, believes this acquisition offers a great opportunity to accelerate the growth of the company with the support of PEL and within a group of rail companies that includes W.H. Davis and Davis Wagon Services, two well-established suppliers within the UK freight sector.
Andy says: “It also provides increased security for our amazing staff, access to an excellent rail connected facility and the opportunity to work with other companies in the same group, to increase our overall capability and service offering. After 16 years as an independent SME, Yellow Rail are looking forward to playing its part in a bigger rail family.”
