Loram Maintenance of Way Inc. and Tranergy Corporation have reached a definitive agreement for Loram to acquire all assets of Tranergy.

"Loram's vision is to be respected globally as the leader in the railway infrastructure markets we serve. The Tranergy acquisition allows Loram to further its leadership position in rail life extension by combining rail grinding with friction modification management," said Phil Homan, Loram president and CEO. "Loram is excited to welcome Dr. Kumar and his team to Loram and to expand Tranergy's friction management offerings and increase its market share."

"We are thrilled to have the opportunity to become a part of the Loram family," said Dr. Sudhir Kumar, Tranergy founder, chairman, president and CEO. "We are excited to work jointly with Loram to further advance and implement our superior friction management products and services. In Loram, we have found a partner that exemplifies the values and innovation that over the past 25 years have brought Tranergy to where we are today. It is now time to work jointly to expand our offerings and increase our visibility in freight and transit rail markets worldwide. "

Tranergy, Inc., a new subsidiary of Loram, will manufacture friction management products that include: CurvGlide^TM top of rail friction management systems, SwitchEnhancer^TM switch lubrication devices and YardGlide® for friction modification in yards.

Tranergy, Inc. will also solely develop and market TracGlide®, a train mounted top of rail friction management system. Tranergy, Inc. will continue to focus on providing outstanding service to its customers from its Bensenville, Ill. headquarters.

Closing of the acquisition is subject to certain customary conditions.