The British investment company HICL Infrastructure Company has signed an agreement to acquire a stake in the Swedish railway freight operator Hector Rail AB. This is reported in a press release from HICL.
As part of the deal, HICL will acquire 42% of shares for 68 million pounds ($91 million). together with other funds managed by InfraRed Capital Partners. Together, the funds will buy back 100% of Hector Rail shares from Ancala investment company.
Financing involves the use of available funds. The transaction is expected to be completed at the end of 2026 after receiving regulatory approvals.
HICL expects further growth, taking into account the transition from road freight to rail, improved railway connections between Scandinavia and continental Europe, as well as favorable government policies. Starting in 2028, fees for access to rail transportation in Sweden will decrease by 20% amid rising costs of road freight transportation.
The deal is aimed at diversifying the company's portfolio by sectors and geographical regions, which will bring "significantly greater" profits than share buybacks.
Hector Rail is a Swedish operator of railway freight transportation in Scandinavia. The company operates 100 locomotives and is engaged in route planning, wagon repair and shunting operations in the logging, intermodal transportation and energy sectors. The headquarters is located in Stockholm (Sweden).
HICL Infrastructure Company is a British infrastructure investment company. The headquarters is located in London (England).
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