Adelaide, Australia – February 3, 2015: A mix of new and old GWA (Genesee & Wyoming Australia) motive power (locomotives) combine to lift a train of empty grain hoppers out of the Belair crossing loop in the Adelaide Hills en route from port to a
U.S. freight railroads operator Genesee & Wyoming on Monday agreed to be acquired by Toronto-based Brookfield Asset Management and Singaporean sovereign wealth fund GIC in a deal valued at about $8.4 billion, including debt.
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The announcement comes a day after Reuters reported news of the development, citing sources.
The Transaction will result in G&W becoming a privately held company.
| Ticker | Security | Last | Change | %Chg |
|---|---|---|---|---|
| GWR | GENESEE & WYOMING | 100.00 | +1.43 | +1.45% |
G&W owns a portfolio of 120 short line railroads, predominantly in North America, with operations in Europe and Australia.
“We believe this transaction is an excellent outcome for all G&W stakeholders,” said Jack Hellmann, G&W Chairman and Chief Executive Officer. “For our current stockholders, the sale price realizes significant value and represents a 39.5 percent 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 percent.”
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Pursuant to the agreement, each issued and outstanding share of G&W will be converted into the right to receive $112 per share in cash.
