Brookfield Infrastructure and GIC have agreed to acquire US-based railroad operator Genesee & Wyoming (G&W) in a transaction valued nearly $8.4bn, including debt.
Following this transaction, G&W will become a privately held company.
Under the terms of the agreement, G&W shareholders will receive $112 in cash against each issued and outstanding share.
Headquartered in Connecticut, G&W owns 120 short-line railroads, mostly in North America, with some operations in Europe and Australia.
The railroad operator is present in six North American regions, serving 41 US states and four Canadian provinces.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataOverall, its North American portfolio includes 114 short-line and regional freight railroads with more than 13,000 track-miles.
Globally, G&W offers transportation infrastructure services for more than 26,000km of track through its subsidiaries.
G&W chairman and CEO Jack Hellmann said: “For our customers, employees, and Class I partners, the long-term investment horizon of Brookfield Infrastructure and GIC as seasoned infrastructure investors is perfectly aligned with the long lives of G&W railroad assets, which are integral to the local economies that we serve in North America and around the world.
“They are also fully supportive of our business plan, which will continue to be focused on safety, customer service, and growing our footprint to provide more opportunity for our people.”
The G&W acquisition is expected to close by the end of this year or early 2020. The closing is subject to customary closing conditions, including approvals by G&W stockholders, regulatory nods and certain competition and antitrust approvals.
