Wabtec has reached a definitive agreement to acquire Sweden-based Dellner Couplers for $960m in cash.

Wabtec is funding the acquisition using cash reserves and short-term debt.

This acquisition is expected to enhance Wabtec's technology offerings and support its growth strategy while reinforcing its portfolio of essential passenger rail systems.

With 84 years of experience in train connection systems, Dellner Couplers is involved in the manufacturing and servicing of couplers for the transit rail industry.

Dellner Couplers specialises in train connection systems, operating production, assembly, and aftermarket services in 13 countries and serving more than 200 customers.

The company has a global installed base of around 100,000 couplers and 12,500 gangways.

It is projected to generate around $250m in revenue by 2025, with growth anticipated to surpass the company's average growth rate over the next five years.

Wabtec Transit president Pascal Schweitzer said: “This acquisition will significantly enhance the capabilities of our Transit business, allowing us to provide an attractive offering for customers and opening further opportunities for expansion.

“The strength of Dellner Couplers’ portfolio of products and services, along with the management team’s track record of delivering industry-leading financial results will accelerate our long-term profitable growth strategy.”

The transaction is contingent upon standard closing conditions and regulatory approvals.

Earlier this month, Wabtec was approved as a RailPulse Certified Telematics Vendor, acknowledging its commitment to improving rail shipment safety and efficiency with its railcar telematics platform.

Last month, Societe Nationale des Chemins de Fer francais (SNCF) Voyageurs ordered KinetiX Inspection Technologies from Wabtec to enhance the safety and reliability of its rail operations.