December 29, 2018

ITE unit acquires American Railcar

American Railcar Industries, (ARI), a majority-owned subsidiary of holding company Icahn Enterprises, will be acquired by a subsidiary of ITE Rail Fund, managed by investment firm ITE Management, at a price of $70.00 per share.

The transaction is valued at approximately $1.75 billion, including debt.

Credit Suisse is providing 100% of acquisition financing to support taking ARI private.

Law firm Wilke Farr & Gallagher acted for ITE.

Icahn Enterprises first acquired a majority interest in ARI, a designer and manufacturer of hopper and tank railcars, in 2010.

ARI also leases railcars manufactured to certain markets, and provides repair services through various repair facilities.