CSX has signed a definitive agreement to acquire Pan Am Railways, a US-based regional railroad system.
The financial details of the agreement were not disclosed.
Headquartered in Massachusetts, Pan Am owns and operates a nearly 1,200-mile railway network in the New England region. The company also has a stake in the 600-mile Pan Am Southern system.
According to its website, Pan Am’s connections comprises all four eastern Class I systems (CN, CP, CSX, NS), along with around 20 regional and short line railroads.
The acquisition will add the states of Vermont, New Hampshire and Maine to CSX’s network, as well as further bolster its footprint in Connecticut, New York and Massachusetts.
CSX president and CEO James M Foote said: “In Pan Am, CSX gains a strong regional rail network in one of the most densely populated markets in the US, creating new efficiencies and market opportunities for customers as we continue to grow.
“We intend to bring CSX’s customer-centric focus and industry-leading operating model to shippers and industries served by Pan Am.
“We look forward to integrating Pan Am into CSX, with substantial benefits to the rail-served industries of the North-East, and to working in partnership with connecting railroads to provide exceptional supply chain solutions to New England and beyond.”
The completion of the acquisition is subject to regulatory review and approval by the US Surface Transportation Board.
Based in Florida, CSX is a railway-based freight transportation services provider in North America.
The CSX network connects almost all major metropolitan areas in the eastern US, more than 230 short-line railroads, and around 70 ocean, river and lake ports.