Tuesday, 20 April 2010

Eversholt sale update

This from Reuters...

AMSTERDAM (Reuters) - CVC Capital Partners and a consortium of Morgan Stanley Infrastructure, 3i Infrastructure and Star Capital have made indicative offers in the 2 billion pound ($3.1 billion) auction of HSBC's rolling stock firm, several people familiar with the matter said.

Looks like another nail in the coffin for investment in new rolling stock.

UPDATE: This from Gordon Gecko..

In fact the staple debt linked to the Eversholt sale reportedly includes £200 million for capital investment.

And DfT won't be able to afford the lease rentals on new trains after May 6 so the HLOS 1300 is nearer 700.

But no new trains means a lot more refurbishment, re-engineering and life extension.

We guys in red braces call it 'polishing the assets'.