Sunday 26th Sep, 2021

John Holland acquires RCR’s rail business

John Holland has acquired RCR Tomlinson Group’s rail business in late December 2018, after the engineering firm was placed into voluntary administration.
Photo: Shutterstock

RCR Tomlinson Group’s rail business has been acquired in late December 2018, after the firm entered voluntary administration.

The sale follows the announcement of McGrathNicol being appointed as administrators for RCR Tomlinson Group to recover the company’s $590 million in debt.

By selling RCR O’Donnell Griffin Rail to John Holland around 400 Australian employees will keep their jobs and entitlements.

McGrathNicol administrator James Preston said RCR’s Rail business has an outstanding track record, with a highly skilled staff and blue-chip client base that made it an attractive target for prospective acquirers and a strategic fit for John Holland.

John Holland has a strong profile in rail and the acquisition builds on its existing capacity and capability.

Administrators have also announced they have entered into a buying agreement with EGL for RCR Tomlinson’s Energy Services business, to be completed in January.

McGrathNicol Partner Jason Ireland said the transaction maintains continuity for RCR customers and suppliers, preserving the entitlements and jobs of more than 50 employees.

Negotiations continue for other parts of the RCR business with assistance from advisory firm Record Point.