Rolling Stock

Porterbrook

United Kingdom.

Acquired October 2014
UTA Ownership 15.0%
Description

Porterbrook is one of the three major rolling stock companies operating in the United Kingdom (UK). Porterbrook specialises in leasing all types of railway rolling stock and associated equipment and has been active in the UK rail industry since it was privatised in 1994.  Porterbrook owns a fleet of more than 5,650 passenger and freight operating units and its portfolio represents approximately one-third of Britain’s passenger stock fleet.  Porterbrook provides an essential infrastructure service to the UK transportation network, with stable cash flows supported by long-term contracts within a sector expecting strong growth over the next 30 years. 

Investment Rationale
  • Long term leases and more than 99% utilisation of existing rolling stock
  • Attractive cash flow profile with no volume or availability risk
  • Strong market position
  • Accretive refurbishment/enhancement projects
  • Potential to participate in new rolling stock procurement opportunities 
Key ESG Elements
  • Strong community relations and support for a number of local, charitable initiatives
  • Porterbrook has an ongoing programme of work to improve the fleets, to increase fuel efficiency, reduce the cost of maintenance and operation, taking a whole life cycle approach.
  • Porterbrook is committed to maintaining and improving the environment by using products and technologies that are sustainable in the long term:
  • Undertaking an assessment of the operation of the Company’s assets and the conduct of the business to identify potential areas of waste reduction
  • Identifying and implementing measures to minimize the dependency on fossil fuels for the operation of the business
  • Identifying and implementing measures to optimise the performance of the asset base to minimize its effects caused by noise, vibration and electromagnetic interference
  • Management dedicates considerable resources to ESG considerations as they are critical to the execution of the business’s long-term profitability and growth.