Posted 28th November 2022 | 6 Comments
Vivarail may appoint administrators as cash dries up
A pioneering company which led the way in converting redundant trains to new forms of traction is preparing to appoint administrators.
Vivarail, which was founded by Adrian Shooter in 2013, acquired a large fleet of former District Line cars from Transport for London with the intention of re-using their aluminium bodyshells and installing new technology, such as batteries.
Some of the converted rolling stock is now in service in the south Midlands between Bedford and Bletchley and on the Isle of Wight. A small number of trains are also being prepared for service in north Wales and on the Greenford branch of the GWR, while two have been exported to the United States.
Vivarail also celebrated after one of its battery driven units became the first electric train to cross the Forth Bridge during COP26 in Glasgow in November 2021.
However, the company’s bid to gain new financing has failed so far, and Railnews understands that many ‘D78’ ex-Underground vehicles which had been stored at Long Marston are being scrapped in an attempt to avoid storage costs.
The company took the first step towards administration by filing a Notice of Intent on 23 November.
Managing director Steve McBride said: ‘The Board and I have worked incredibly hard to secure new investment in recent months, and although we have been encouraged by the level of interest, time is now against us to allow potential investors to step in. Combined with slow market conditions and delays in reaching certain key commercial arrangements we have had no choice but to file a Notice of Intention to appoint Administrators with the Courts.
‘The next few weeks undoubtedly represents a degree of uncertainty for everyone connected to Vivarail, including our 70 employees who have shown incredible commitment and dedication to decarbonising our railway. During this time. management, the board of directors and our advisors will leave no stone unturned in finding a solution.
‘We will now be consulting with our customers and other stakeholders to try and drive the business forwards, but we must be realistic in that if we are unable to deliver a rescue package Administration will unfortunately be inevitable.’
Reader Comments:
Views expressed in submitted comments are that of the author, and not necessarily shared by Railnews.
Neil Palmer, Waterloo
If Ryde St Johns SWR depot can keep theirs going on the IOW surely LNR is capable of the same.
Andrew Long, FLITWICK, Bedford
It is very sad that the Marston Vale Line, Bletchley - Bedford has seen its Class 230s replaced by a bus service from December 2nd.
Rather than "pull the plug" LNW should have explored taking the maintenance of the Vivarail units "in house" at Bletchley (Cambridge Sidings).
Failing that, given the introduction of the new CAF Class 196s on West Midlands services, it must have spare/displaced diesel units which it could redeploy for the Marston Vale Line service in the interim.
We have been told that Class 196s may also be used on EWR (Oxford - Milton Keynes Central) services when that line opens.
Brian George, NOTTINGHAM
Sad to see such an innovative company going to the wall. They had good ideas which were obviously being picked up by the rail industry eg I,o,w railways. Not to mention recycling old stock which would otherwise be scrapped. Or end up on a heritage line awaiting refurbishment and conversion to normal use other than the underground.
I hope they do find a backer.
king arthur, buckley
The Vivarail 230s were supposed to be running on the Wrexham to Bidston line by the summer of 2019. They have suffered various fires and other technical problems and to date, they have not carried a single passenger on this route. Hardly a rip-roaring success.
H. Gillies-Smith, South Milford
Having suffered railbuses, pacers or skipper or what you will for years which we're at least new builds, do I want to travel on some old converted stock designed and built specifically for the Underground years ago, no I do not.
Neil Palmer, Waterloo
So sad to see a pioneering UK company like Vivarail unable to attract investment.