Orbis On Track With Sale Of Global Rail Services Provider
A West Midlands-based independent certification body to the rail industry has been sold in a multi-million-pound deal arranged by Birmingham-based corporate finance advisers Orbis Partners, the UK partner of Clairfield International, a worldwide partnership of M & A specialists and investment banking firms.
Correl Rail, which specialises in the inspection and certification of railway rolling stock, has been bought by Swiss-based SGS Group.
The business, which is based in Birmingham, carries out work for a number of the leading rolling stock manufacturers, as well as train operators and leasing companies.
Correl works with manufacturers to ensure that new rolling stock is designed and manufactured in accordance with required safety and operating standards, and with operators/leasing companies to assess on-going maintenance practices as well as provide other technical advice and consultancy.
The Company services a wide client base throughout Europe, and, increasingly, Asia, leveraging the world-leading reputation of the UK regulatory regime within the industry.
SGS Group is the global leader and innovator in inspection, verification, testing and certification services, with an annual turnover of £3bn. The Group has more than 64,000 employees and a network of over 1,250 offices and laboratories around the world. It has acquired Correl to help develop its railway services portfolio, targeting substantial worldwide growth in what is seen as a buoyant market sector.
Correl shareholders and directors Nigel Bean, Colin Turpin and Barry Cullinane, who established the company 10 years ago, will retain senior positions in the business.
This was a very exciting deal for us to be involved in as we were able to access a number of strategic international potential buyers through our Clairfield International partnership. We concluded a deal which reflects Correl’s strategic market potential. With the support of SGS, the business will be able to develop its already impressive capabilities into new services and geographical markets as well as consolidating its dominant position in the UK.
Shah Zaki, Partner
The Birmingham office of law firm Wragges advised the shareholders of Correl. Corporate finance partner Baljit Chohan led the deal, along with associate Hannah Salmon.
The deal is a huge step forward in the development of Correl. The team have worked hard to build up the business over the past 10 years and will prove to be a valuable asset for SGS going forward.
