Aecom acquires stake in rail specialist

Consultant Aecom has bought a 30 per cent stake in SLC Rail.

Aecom has worked closely with the SME in recent years, including on the £166m project to reopen the Northumberland rail line which was closed under the Beeching cuts in 1965. Six new stations are also being built along the line, which has £34m worth of funding from the government.

Aecom managing director for civils infrastructure in the UK and Ireland Mark Southwell said the investment would help Aecom increase its involvement in rail.

“There is substantial potential to apply our joint approach to more programmes, helping to regenerate regions, towns and cities across the UK,” he said. “Aecom’s investment in SLC strengthens our value proposition to clients, bringing a new approach that will enhance the delivery of vital rail schemes effectively and with pace.”

The two firms have worked together on the Northumberland rail line scheme since October 2020, when ground investigation work began.

Aecom is also working in a joint venture with SLC on the £200m West Midlands Rail programme. Volker Fitzpatrick is main contractor on the scheme, which involves revamping the train station at Perry Barr in Birmingham. As an area, Perry Barr is receiving £750m worth of investment in the build up to the Commonwealth Games later this year. The programme is also delivering a major upgrade to University Station and two new stations at Willenhall and Darlaston.

SLC Rail, which was founded in 2009, is too small to provide full accounts. In its latest financial report, to 30 September 2020, it had net assets of £979,300.