RailWorks Corp. ("RailWorks" or "the Company"), the leading North American specialty construction and maintenance rail contractor, announced today it has acquired H&H Engineering Construction ("H&H"), a rail maintenance and construction contractor for the Western United States providing services for transit, ports, freight railroads, and rail served industrial companies.
The transaction follows RailWorks' recently completed acquisition of Progress Rail's Rail Welding Services Division, a specialized provider of flash butt welding ("FBW"), enabling RailWorks to utilize best-in-class FBW capabilities and offer rail customers expanded maintenance of way services. Financial terms of these transactions were not disclosed.
RailWorks provides comprehensive specialty railroad construction and maintenance services, which include track construction, turn-key rehabilitation and maintenance, and innovative solutions for predictive track maintenance. The integration of H&H will strategically expand RailWorks' presence on the West Coast with a best-in-class team of professionals serving a diverse base of rail customers. As part of the RailWorks team, the H&H teams will be able to leverage FBW crews and equipment from the Rail Welding Services Division, leading to additional incremental growth opportunities.
RailWorks is a portfolio company of Bernhard Capital Partners, a services and infrastructure-focused private equity management firm, which it partnered with in November 2021 to drive long-term strategic growth and expand its core offerings and capabilities.
"This is an exciting time for RailWorks. These complementary acquisitions represent a significant expansion of our offerings and the ways in which we can service our valued customers across the country, As we continue to grow our business and execute on a shared vision with our partners at Bernhard Capital, we see a number of exciting opportunities to further expand our offerings and continuously enhance the safe, high-quality services customers expect from RailWorks."
-Kevin Riddett, RailWorks President and CEO.
In addition to executing on its strategic growth objectives, RailWorks has also remained committed to expanding its industry-leading commitment to safety. In May 2022, the company announced a partnership with Miller Ingenuity's ZoneGuard product line, a roadway worker protection system to detect track vehicles entering active work zones, provide advanced technology to the RailWorks portfolio, and improve overall roadway worker protection. Through this partnership, RailWorks is expanding the Company's commitment to a safety-first culture and working to accelerate safety technology adoption throughout the North American rail market.
"RailWorks' services are essential to supporting a critical mode of transportation for much of the country's population, These acquisitions and our new technology partnership solidify RailWorks' position as the industry leader for rail system maintenance, repair, and construction services. We are excited to continue to work closely with Kevin and his exceptional team to further expand the company's technology offerings and solutions-oriented approach, while maintaining RailWorks' commitment to its customers and to employee safety."
-Mark Spender, Partner at Bernhard Capital.
About RailWorks Corporation:
Founded in 1998, RailWorks Corporation provides track construction, electrical systems construction, maintenance services and products throughout the United States and Canada for major transit authorities, Class I and short-line railroads, and rail-served commercial and industrial companies. Trusted RailWorks brands include L.K. Comstock Inc., PNR RailWorks, NARSTCO, and HSQ Technology.
About Bernhard Capital Partners:
Bernhard Capital Partners is a services and infrastructure-focused private equity management firm established in 2013. Bernhard Capital Partners has deployed capital in four funds across several strategies, has approximately $2.9 billion of gross assets under management and is ranked as one of Private Equity International's 300 largest private equity firms worldwide. Bernhard Capital Partners seeks to create sustainable value by leveraging its experience in acquiring, operating and growing services and infrastructure businesses.