The Greenbrier Cos., Inc., Lake Oswego, Ore., completed an agreement between Rayvag Vagon Sanayi ve Ticaret A.S., Turkey, and Greenbrier's European subsidiary, Greenbrier-AstraRail, to take an approximately 68% ownership stake in the railcar manufacturer and provider of railcar repair and parts services.
Asim Suzen, founder, will continue to serve Rayvag as managing director.
"Rayvag is committed to growth, but could not achieve scale without this investment by Greenbrier," Suzen says. "Greenbrier-AstraRail's expertise in designing freight wagons that meet European rail standards, as well its world-class manufacturing systems and procurement practices, position Rayvag to respond to the rapidly advancing demands of Turkey's freight rail industry. Greenbrier's financial strength also provides Rayvag with a partner capable of pursuing the substantial growth that we foresee in the Turkish railway supply business during the coming years. I am proud to lead Rayvag under Greenbrier's majority ownership."
Greenbrier's presence in Turkey, through its interest in Rayvag, continues its pursuit of growth by accessing global freight markets. Adding Rayvag to Greenbrier Europe, which also includes Poland's WagonySwidnica and Romania's AstraRail, extends Greenbrier's continental reach. This allows Greenbrier Europe to acquire new railcar customers while serving existing customers that operate on the nearly 5,500-mile Turkish rail system.
"Greenbrier views Turkey and the Mediterranean region as a key corridor within the global freight railway system. Expansion into Turkey is a logical extension of our market-leading Greenbrier Europe operation. Turkey broadens Greenbrier's presence in the region where we are successfully working with Saudi Railway Co. on key rail projects and are planning to partner with other Gulf Cooperation Countries on railway supply needs in those nations. We look forward to growing our presence in the Turkish rail market and the opportunity to be a part of the industry's growth within the region," says William Furman, chairman and CEO for Greenbrier. "Greenbrier's investment in Rayvag further demonstrates our commitment to enter promising international railcar markets. This will produce greater shareholder returns, as Greenbrier grows its leadership on four continents as a global manufacturer in the expanding worldwide freight railcar industry."