Wärtsilä acquires Railko

Wärtsilä has signed an agreement to acquire the marine business of Railko Ltd. in the UK, a company specializing in synthetic stern tube bearing technology. The net sales of the company’s marine business is about EUR 6 million and the number of employees is 25. The deal is planned to be completed in the third quarter of 2007.

The company was founded 1957 and is today owned by Tenmat Ltd. The marine sector of Railko and Wärtsilä have maintained a relationship for the past 30 years, and have together developed specific materials for face seals.

“Shipowners are increasingly paying attention to the environmental impacts of shipping. Stern tube seals and bearings are among the most critical components in ships. By acquiring the marine business of Railko, Wärtsilä will improve its competitive position in oil-lubricated bearing systems. In addition, by adding water-lubricated bearings to its portfolio Wärtsilä obtains a unique position as the only global total solution provider in water-lubricated stern tube systems,” says Jaakko Eskola, Group Vice President and Head of the Ship Power business.

Railko designs, develops, manufactures and sells synthetic bearings. The company is application-focused and provides complete products to its customers for use on all types of vessels, from cruise ships to cargo vessels.

Today Wärtsilä is a leading provider of stern tube seals and bearings for the marine industry and has seals and bearings production units in the UK and Japan.