The American railway company Westinghouse Air Brake Technologies Corporation (Wabtec) has acquired full ownership of the locomotive assembly plant, Lokomotiv Kurastyru Zauyty, in Astana, QazMonitor reports citing Railway Supply.
According to the company’s financial report for October-December of last year, “Wabtec acquired the remaining 50% of the Company’s joint venture, Lokomotiv Kurastyru Zauyty (LKZ), for $81 million, net of cash received,” states the report. Previously, Wabtec held half of the plant's shares in a joint venture with the Russian locomotive manufacturer Transmashholding CJSC.
This acquisition follows the signing of memorandums of understanding in Kazakhstan in November 2023.
Wabtec's earnings from equipment supplies to Kazakhstan are anticipated to reach $2 billion. In turn, the national railway company Kazakhstan Temir Zholy aims to modernize 15% of its locomotive fleet by securing a $900 million loan from the American Citibank. This funding will facilitate the purchase of 240 Wabtec locomotives.
