GWI completes acquisition of P&W

Written by Kyra Senese, Managing Editor
image description
GWI

Genesee & Wyoming Inc. (GWI) announced last week its completed acquisition of Providence and Worcester Railroad Company (P&W) for approximately $126 million, or $25.00 per share.  

 

Directly following the acquisition’s closing, GWI transferred the stock of P&W to a voting trust, with R. Lawrence McCaffrey appointed as trustee. Representatives say the trust will remain in effect until the U.S. Surface Transportation Board (STB) gives its approval of GWI’s control of P&W, which is expected to take place in the fourth quarter of 2016. Following receipt of STB approval, P&W would be managed as part of GWI’s Northeast Region, which is led by Senior Vice President Dave Ebbrecht.

Headquartered in Worcester, Mass., and operating in Rhode Island, Massachusetts, Connecticut and New York, P&W is located near GWI’s New England Central Railroad and Connecticut Southern Railroad.

P&W serves various aggregates, auto, chemicals, metals and lumber customers, managing about 43,000 carloads and intermodal units annually. P&W also provides rail service to three ports—Providence, R.I., Davisville, Mass., and New Haven, Conn., and to a U.S. Customs bonded intermodal terminal based in Worcester.

Morgan Stanley & Co. LLC served as GWI’s financial advisor, and Simpson Thacher & Bartlett LLP worked as GWI’s legal advisor.

Tags: