OREANDA-NEWS. December 20, 2012. SCM has made the decision to create in Kiev a new industrial holding - Transinvest Holding - as a part of SCM Group's transportation business.

The holding is established to develop the area of construction and maintenance of railway tracks, first of all, as a part of SCM Group's transport infrastructure.

The new holding is expected to include under its umbrella Donbass Industrial and Transport Company (Donpromtrans) and Kerch Railroad Switch Plant (used to be controlled by Lemtrans, a transportation and forwarding company).

"A single corporate centre for managing maintenance of railroad assets will help both to capitalise the assets and improve management efficiency in this area. In addition, Lemtrans will focus on its main area of activity - freight operations," noted SCM Director of New Business Development Nikolay Nesterenko.

Transinvest Holding's areas of activity include construction, modernisation and repair of permanent way?? with the main focus on production of railroad switches. The key consumers of the holding will be primarily industrial companies of the SCM Group: steel companies and ore mining and processing plants, coal mines, etc.

Andrey Shpilka, former head of Northern GOK (Metinvest Holding), is the CEO of Transinvest Holding.

"SCM Group has more than 3,500 km of railroad tracks, which are to be maintained and repaired on a regular basis, including replacement of railroad switches. We have created a company specialising in these works. At the same time we see some potential in providing these services in external markets, first of all, in the CIS," noted CEO of Transinvest Holding Andrey Shpilka.