Great Southern Rail
On board a partnership with Australia’s iconic rail journeys
Snapshot
Type of Investment
Turnaround
Industry
Tourism
Initial Investment
May 2015
Fund
Allegro Fund II
Investment Status
Exited
Website
Contact
Adrian Loader
Johan Krynauw
Initially an under-resourced, transport-focused subsidiary of a UK-listed company, this iconic Australian business was struggling with dependence on government funding and competition from low-cost airlines.
Allegro acquired Great Southern Rail in May 2015 as the second investment in Fund II. During its ownership, Allegro transformed the business from a simple transport provider into a customer-focused, experiential tourism company. This involved a repositioning to an "all-inclusive" model, significant capital investment in luxury offerings, and the introduction of new products like the four-day Ghan Expedition. The strategy focused on improving the Net Promoter Score (NPS) and profitability, leading to world-leading NPS scores above 90 and a substantial increase in customers opting for high-value tourism products.
In February 2022, Allegro sold the business to Quadrant Private Equity, generating strong returns for Fund II and the management team.