Fulcrum Capital Partners Sells Interest in A&B Rail Services to Torquest Partners

Fulcrum Capital Partners announces that it has completed the sale of its majority interest in A&B Rail Services Ltd. ("A&B Rail") to a group of investors led by TorQuest Partners, a Toronto, Ontario based mid-market private equity firm.Harris Williams & Co. acted as the exclusive advisor to A&B Rail.

Fulcrum Capital Partners' Fund III acquired its interest in A&B Rail in June 2008. The company provides complete track maintenance, repair, rehabilitation, construction and additional services for Class I railways, industrial companies, municipalities and short line railways. In addition, A&B Rail also provides highly specialized track services as well as light rail transit ("LRT") construction, maintenance, signals and communication support. Fulcrum Capital Partners' Fund III has made 11 investments and the sale of A&B Rail represents the sixth fully realized investment in that fund.

Over the course of Fulcrum Capital Partners' investment horizon, A&B Rail has realized impressive growth in revenue and earnings from a combination of expanded service lines including LRT, signals, communication, civil and rail component manufacturing, and via two strategic acquisitions. All this has transformed A&B Rail into the premier national rail services company in Canada.

Fulcrum Capital Partners would like to thank A&B Rail's management team, particularly President, Paul Brum, for their entrepreneurial spirit and hard work leading to a truly successful partnership over the last five years.

 
Fund IIIEric Krtinic