The Süddeutscher Zeitung (Newspaper) is reporting that the DB has agreed to acquire a 55 percent stake in EWS, the largest British railfreight company, this is to happen as soon as DB completes the sale of its share in the Ferry company Scandlines, and the DB Board meets to give its approval to the purchase. This will have a major impact on railfreight in the Western Part of Europe. It is also a very serious threat to SNCF’s railfreight division. Might even be lethal.
This was reported in the latest issue of “Rail” magazine here in Britain. It seems DB’s main reason for wanting to acquire EWS is that EWS is so far one of the few companies that has gained an Open Access licence to operate in France. The fact that it also the main freight operator in Britain is just incidental. Then again DB has been acquiring operators in all the neighbouring countries and has a vision of a trans-European freight network so perhaps this fits in with this strategy.
If this deal is ok’ed then freight railroading in France will be interesting to watch! It gives DB an alternative route to Italy. One wonders what the reaction will be elsewhere, particularly as DB moves aggressively forward whereas the likes of B-cargo and Sncf fret are just getting their feet wet with cross border operations. ÖBB and SBB will have to counter this move in some way.
greetings,
Marc Immeker
Cn hold a 42% stake in the company and have been looking to sell for yonks. So, a tockmarket flotation ruled out then a sale to private equity firms and now a trade sale. The EU is making noises about investigating duen to state aid issues, however the Germans will tell them to go away and they will back down. EWS still has a 60% market share in the UK although there seems to be an idealogical battle within the company as to whether to abandon the wagonload business entirely and concentrate on the bulk haul. Sadly for them the main suppliers of that market are already spreading their eggs and contracting other rail suppliers.
If the French kick up a fuss then the train ferries at Purfleet and Hull could be a handy alternative!
If the DB could boost wagonload traffic through the Channel Tunnel, it would provide a network on which to improve the domestic wagonload business. Of course domestic wagonload in a country the size of Great Britain is always going to be difficult because of circuity versus trucks and short overall distances. The Swiss can manage because of the taxes on trucks, makes rail competetive on shorter distances. EWS is struggling because their costs are slightly higher than their competitors, and the compition is very fierce in GB.