American Railcar Industries
|Traded as||NASDAQ: ARII|
|Parent||The Greenbrier Companies|
American Railcar Industries is an American manufacturer and maintainer of hopper and tanker railcars, headquartered in Saint Charles, Missouri. Through its subsidiary American Railcar Leasing (ARL) it also leases railcars in the covered hopper and specialized tank car markets. As of 2013, investor Carl Icahn owns a controlling interest in both companies.
ARI was formed in 1994 as a subsidiary of ACF Industries (ACF), which had been leasing railcars since 1923. At that time ARI manufactured components for railcars, and also provided painting, repair and fleet management services. By 1999, the company was manufacturing both hopper and tanker cars.
In 2004 ARI formed a subsidiary company, American Railcar Leasing. This new company in turn acquired, via a series of transfer transactions between the related companies, the railcars and related leases from ACF Industries.
In 2009, the company reincorporated in North Dakota to take advantage of the North Dakota Publicly Traded Corporations Act.
In 2019, American Railcar Industries was acquired by The Greenbrier Companies. The transaction, valued at $400 million, will provide Greenbrier customers not only with direct sales or leasing options but also with after-market services. Customers seeking tank cars and covered hoppers will also benefit from Greenbrier’s expanded geographic footprint as a result of the acquisition of ARI. The Greenbrier Companies, headquartered in Lake Oswego, Oregon, with other employees located worldwide, will add two railcar manufacturing facilities in Paragould and Marmaduke, Arkansas. The company will also add manufacturing and administrative employees in St. Charles, Missouri, as well as other operations in Jackson and Kennet, Missouri and Longview, Texas.
American Railcar Leasing
In 2014, ARL owns over 25,000 tank and covered hopper cars (with their two most common reporting marks being ACFX and SHPX) and serves the petroleum, chemical, food, agriculture, fertilizer and plastic pellet markets. In 2006 this totalled more than 10% of the lease cars in the United States.
The tank cars are used for a variety of liquid and liquified gas commodities such as vegetable oils, asphalt, various chemicals, LPGs and petroleum products. ARL's covered hopper cars are used for transporting commodities such as grains, plastic pellets, flour, sugar and various minerals.
In December 2018 the business was purchased by ITE Management. In April 2019 it was announced that subject to gaining regulatory approval, the business had been sold to The Greenbrier Companies.
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- ITE to acquire American Railcar Industries Railway Gazette International November 2, 2018
- [https://www.bizjournals.com/stlouis/news/2018/12/06/deal-closes-for-st-charles-public-company.html Deal closes for St Charles public company St Louis Business Journal December 6, 2018
- St Charles company's manufacturing assets to be sold in $400M deal St Louis Business Journal April 18, 2019
- Greenbrier to acquire American Railcar Industries in $400m deal Railway Gazette International April 18, 2019