Wilmerding, Pa.-based Wabtec Corp. acquired Xorail LLC, a provider of signal engineering and design services, for $40 million in cash. The company is based in Jacksonville, Fla., and has annual sales of about $40 million.

Xorail provides a variety of engineering, design and construction services, mainly for railway signaling systems. These services include design solutions for wayside signaling; positive train control systems and highway grade crossing warning systems; site surveys; systems integration; and field construction and installation of wayside equipment. Xorail’s customers include Class I railroads and passenger transit authorities in North America.

The company was founded in 1990 as Southwest Signal Engineering Company, and now has 10 satellite offices throughout North America with approximately 275 employees. Kash Krishnarao, president of Xorail, will remain with the company.

Wabtec Corp. is a global provider of value-added, technology-based products and services for the rail industry. Through its subsidiaries, the company manufactures a range of products for locomotives, freight cars and passenger transit vehicles. The company also builds new switcher and commuter locomotives and provides aftermarket services.