Axion International and Sicut have signed a Letter of Intent to form a new Joint Venture (JV) to manufacture and distribute Recycled Structural Composite (RSC) ties and sleepers to the global railroad tie market.
Axion will own 65% of the JV, while Sicut will own 35%. The new JV will be named as Axion Rail.
The proprietary RSC material of Axion is inert and is free from toxic materials. It is resistant to insect infestation and prevents toxic chemicals. RSC products are recyclable, lightweight, decrease energy expenses and are less expensive.
Axion has licensed the patents owned by Rutgers University to market structural composite products in Russia, South Korea, the Caribbean, Australia, South America, North America and a part of the Chinese market.
Sicut has received the license for patents owned by Rutgers University for South-East Asia, South Africa, India, Europe and a part of the Chinese market. The JV will combine the respective licensed territories of Sicut and Axion to market RSC railroad ties and sleepers worldwide.
Axion Rail JV will mainly focus on railroad sleeper opportunities through its global relationship, including those in the major European markets like the UK.