CSX has sold the Alabama & Tennessee River Railway, LLC (ATN) and the Fulton County Railway, LLC (FCR) to HGS Railway Holdings Inc., a managed affiliate of OmniTRAX, Inc.
Terms for the transaction were not disclosed. OmniTRAX has managed both short lines for several years. Operations are expected to continue unchanged following the acquisition.
The ATN, based in Gadsden, Ala., operates 120 miles of track to transport cement, pulp board, food products, canned goods, steel and other commodities. The FCR, based in Atlanta, operates 25 miles of track in the Fulton County Industrial Park, providing service to warehouses and light manufacturing companies transporting food products, metals, building materials, paper and packaging products.
“The Alabama & Tennessee River Railway and the Fulton County Railway have been great operations for OmniTRAX due to the business-friendly climate in Alabama and Georgia, strong regional commodity flows and select expansion opportunities,” said OmniTRAX CEO Kevin Shuba. “The transaction marks another milestone in our strong relationship with CSX. We thank the CSX team for their professionalism during the process and look forward to working with them to support current and future customers on the two railroads.”
OmniTRAX, one of North America’s largest private railroad and transportation management companies, provides management services to railroads, ports and intermodal and industrial switching operations.
The company, an affiliate of The Broe Group, also offers specialized industrial development and real estate services, both on and off the OmniTRAX rail network.
CSX began selling rail lines in April 2018. Up to 8,000 miles are under consideration.