Institutional investors, advised by JP Morgan’s Global Transportation group, have acquired the US-based freight railcar leasing company InStar from Sightway Capital, a Two Sigma private equity business, for an undisclosed sum.
The new strategic ownership group will be pursuing growth opportunities to expand the company’s railcar leasing portfolio in North America, with Umesh Choksi staying at the helm alongside chief financial officer, Joanna Marek.
Established in 2016, the New Jersey-based InStar has a portfolio of more than 7,000 railcars diversified across car types, market segments, type of lessees, and lease durations, with over 112 leases and 76 unique lessees.
The JP Morgan Global Transportation group has been investing in the transportation industry since 2010 and actively manages over $4.5bn in transportation assets in the maritime, energy logistic, intermodal, rail and aircraft segments.
“InStar has an impressive track record of growth since its inception. With its seasoned management team, strategic industry relationships, and modern fleet, the company is well positioned to capture the growth in this segment and increase its market share,” said Andy Dacy, global head of transportation for JP Morgan Global Alternatives.
