Brookfield Infrastructure buys out Genesee and Wyoming

[Photohunter71]

Canadian company Brookfield Infrastructure GIC, have bought over (acquired) Genesee and Wyoming for $8.4Bn. What investment will there be for Freightliner?

https://www.railwaygazette.com/news...esee-wyoming-to-be-acquired-in-84bn-deal.html

INTERNATIONAL: A consortium of Brookfield Infrastructure, GIC and Brookfield’s institutional partners has agreed to acquire short line group Genesee & Wyoming Inc in a US$8·4bn transaction.

The consortium would pay US$112 per share in cash, with G&W becoming a privately held company.

‘We believe this transaction is an excellent outcome for all G&W stakeholders’, said G&W Chairman & CEO Jack Hellmann when the deal was announced on July 1. ‘For our current stockholders, the sale price realises significant value and represents a 39·5% premium to our March 8 share price. And for long-term investors who have owned our shares for the past two decades, the sale price represents a return of more than 5 400%.

 

[mpthomson]

I doubt anyone who already knows will tell you on this forum. We'll just have to wait and see if there are any announcements re investment. Might be none, might be some, might be less.

 

[hwl]

I doubt anyone who already knows will tell you on this forum. We'll just have to wait and see if there are any announcements re investment. Might be none, might be some, might be less.

Brookfield and partners rather than just Brookfield.
Brookfield already (last 6 years) have a stake in Brazilian freight operator VLI (800 locos, 22,000 wagons). Which as seen some investment all round (buying new and 2nd hand locos / wagons and adding /upgrading yards / handling facilities).

 

[mpthomson]

Brookfield and partners rather than just Brookfield.
Brookfield already (last 6 years) have a stake in Brazilian freight operator VLI (800 locos, 22,000 wagons). Which as seen some investment all round (buying new and 2nd hand locos / wagons and adding /upgrading yards / handling facilities).

Which doesn't make any investment in Freightliner a given in any respect. I'm not suggesting they won't either. They'll tell us when they're ready to.

 

[hwl]

Which doesn't make any investment in Freightliner a given in any respect. I'm not suggesting they won't either. They'll tell us when they're ready to.

Exactly, but Brookfield have a reputation for long term holding of investments and not behaving like a private equity owner so probably not much change from G&W management apart from less fear of investing in new stuff rather than refurbishing old stuff!

 

[Elecman]

Another change in colour scheme then for Freightliner

 

[Geeves]

Another change in colour scheme then for Freightliner

Not necessarily, they are a private investment firm and the G&W (and freightliner) are a well known brand. Its unlikely that they are going to change their name or colours again to Brookfield Trains.

 

[Photohunter71]

I was wondering what investment there may be for Freightliner, (rolling stock,new locomotives, staff, winning of contracts etc?) I doubt a change of livery would be a requirement as they have only invested in a company.