PRESS RELEASES

DUROC RAIL ENTERS INTO A STRATEGIC PARTNERSHIP WITH LKAB – TRANSACTION COMPLETED

 

The earlier communicated transaction, where Duroc has, entered into a strategic partnership with LKAB which aims to jointly develop the offer in maintenance for railway wheels and related components, has now been completed. The collaboration implies that LKAB acquires 49 percent of Duroc Rail AB for a final purchase price of approximately MSEK 79 and will, together with Duroc Rail, build a new production facility in Luleå.

The new production facility, which will be owned by LKAB and used by Rail, is expected to be completed in the end of 2025. A 20-year lease agreement with an extension option has been signed between the parties. The property comprises a total of approx. 40,000 sqm. of land area, of which approx. 7,000 sqm. is production area. The investment will enhance capacity and flexibility and will be dimensioned to support the expected future growth that is predicted for Duroc Rail’s operations…

 

FEBRUARY 20, 2024