ITE closes on American Railcar acquisition

ITE Management LP announced yesterday that it has completed its acquisition of American Railcar Industries Inc. (ARI).

As part of the transaction, ITE acquired a rail fleet of nearly 14,000 rail cars, as well as hopper- and tank-car manufacturing and strategic servicing businesses, ITE officials said in a press release.

"The acquisition of ARI adds substantially to the fleet managed by ITE Management. As one of the larger private rail-car owners, our scale will help us maximize value for all of our constituents," said ITE Partner Jim Unger. "The servicing business will help further provide top quality resources for the lease fleet, and with the manufacturing business we can focus on long term growth."

Added ARI President and Chief Executive Officer John O'Bryan: "ITE's focus and expertise on rail cars and rail-car leasing is an asset to ARI's business and our vision of providing the very best rail cars and service to our customers. ITE values the ARI team and shares our values of excellence, accountability, and teamwork."

When announced in October, the acquisition was valued at $1.75 billion.