Wabtec completes $1.7bn acquisition of Evident’s Inspection Technologies unit

Wabtec has completed the acquisition of Evident’s Inspection Technologies division, a move that significantly enhances its Digital Intelligence business.

The $1.78bn deal, adjusted to approximately $1.68bn after tax benefits, is set to expand Wabtec’s total addressable market from $8bn to an estimated $16bn.

The deal was financed through a mix of cash, term notes, and credit facilities, and is expected to provide immediate shareholder value.

Wabtec signed a deal with Evident for the acquisition in January this year.

The move aligns with Wabtec’s growth drivers such as the innovation of scalable technologies, expanding its installed base, and driving operational improvements.

Wabtec CEO and president Rafael Santana said: “Today, we are a stronger company with the addition of Inspection Technologies.

“The acquisition expands and strengthens our Digital Intelligence business, with advanced products and services for the company’s rail, mining, and industrial sectors, while broadening our reach into other high-growth, high-margin end markets. It enhances Wabtec’s existing portfolio, is accretive to key financial metrics, and aligns with the company’s long-term vision to lead the industry in innovation for our customers.”

The transaction is projected to be slightly accretive to adjusted earnings per share in the second half of 2025, reflecting an estimated multiple of 12.0x for this year’s earnings before interest, taxes, depreciation, and amortisation.

This considers transaction and separation costs, anticipated tax benefits, and run-rate cost synergies of $25m.

Wabtec plans to incorporate the financial impact of this acquisition into its full-year financial guidance during its second-quarter earnings call.

Wabtec Digital Intelligence group president Nalin Jain said: “Inspection Technologies’ product portfolio strongly complements our existing digital technologies, while adding advanced automated inspection capabilities in a space where data acquisition, analytics, and automation are critical.

“It will accelerate the development of scalable technologies by integrating advanced analytics, sensors, and AI technology to deliver enhanced predictive maintenance capabilities to our customers. Evident Inspection Technology employees have done a fantastic job in delivering these innovative technologies and I am looking forward to welcoming them to the Wabtec family.”

In addition to the Inspection Technologies acquisition, Wabtec has reached a definitive agreement to acquire Dellner Couplers for $960m in cash.

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