M&A transactions

Brunswick Rail

Railcar lease operator

  • Period of completion - 2017
  • Project’s geography - Russia
Sale of a leading private company in the Russian freight railcar operating leasing market.
When Brunswick Rail was hired by the Russian Railways Group, it had begun experiencing financial difficulties because of the drop in the freight market and the devaluation of the ruble, which negatively affected the company's ability to service its foreign-currency debt. The company's equity value was negative: the company's liabilities stood at $748m (of which $600m of bonds were due in November 2017) and its assets stood at $448m. PCG created a dialogue with investors about the possibility of entering into debt restructuring negotiations with bondholders, which would have made a positive equity value. After contacting investors, several offers were received, one of which was accepted by the shareholders.

PCG acted as financial advisor to Brunswick Rail's shareholder committee on the sale of shares to a new strategic investor.
  • Preparation of marketing materials.
  • Sourcing and attracting potential investors.
  • Establishment of a competitive process.
  • Negotiating with investors on the price and structure of the transaction.
  • Assistance with legal documentation approval.
  • Assistance with obtaining approvals from all shareholders of the company for transactions and their closing.