Genesee & Wyoming takes over Freightliner
Global company Genesee & Wyoming has acquired approximately 95% of the shares of Freightliner.
G&W, which owns and operates the Tarcoola to Darwin rail line as well as short line and regional fright railroads in the US, Australia, Canada, the Netherland and Belgium, has acquired the company for approximately US$755 million, and will assume around US$13 million in debt.
The Freightliner management team will retain around a 5% ownership.
The move comes as Freightliner workers have recently approved a new Coal Business enterprise agreement and will this year commence negotiations for a replacement Intermodal Business agreement.
The Loco Division will be seeking assurances from the company that the acquisition won’t have any negative impact on employees.
For a full overview of the deal, follow this link – http://phx.corporate-ir.net/mobile.view?c=64426&v=203&d=1&id=2019756