Summary by Moomoo AI
Kiepe Electric LLC has secured a contract through competitive bidding from the Chicago Transit Authority (CTA) to modernize traction equipment on 266 CTA 3200 Series railcars. The base contract is valued at approximately $35 million, with an option to modernize an additional 210 CTA 2600 Series railcars that could generate another $21 million in revenue.The production of propulsion modernization kits will be carried out at Kiepe's Alpharetta, GA facility, adhering to Buy America requirements. The first modernized railcars are scheduled to enter regular service in 2027, with deliveries continuing through 2029, or potentially extending to 2031 if CTA exercises the additional railcar option.This project marks a significant milestone in Kiepe's North American expansion and its transformation into a comprehensive software and systems provider for eMobility decarbonization solutions across road and rail infrastructure. The company, operating from six international locations, generated sales of approximately 120 million euros in 2022 with over 550 employees.
