Genesee & Wyoming Inc. (G&W), Darien, Conn., acquired approximately 95% of the shares of London-based Freightliner Group Ltd. from Arcapita and other shareholders for cash consideration of approximately $755 million. Members of the existing Freightliner management team will retain an approximate 5% ownership interest with G&W to own 100% by mid-2020. The acquisition is expected to close during the first quarter of 2015.
Freightliner is an international freight rail operator with operations in the United Kingdom, Poland, Germany, the Netherlands and Australia. Its principal business in the UK is said to be the second largest freight rail operator, providing intermodal and heavy haul service throughout England, Scotland and Wales. Its subsidiary is said to be the largest rail maritime intermodal operator in the UK, providing intermodal container services from the major deep sea ports of Felixstowe, Southampton, London Gateway and Tilbury to a network of inland terminals, primarily for global maritime shipping customers. Freightliner operates out of 13 terminals, eight of which are owned, including Birmingham, Bristol, Cardiff (Wales), Coatbridge (Scotland), Doncaster, Leeds, Liverpool and Manchester. As part of its intermodal service, Freightliner also operates a fleet of over 250 trucks for local pickup and delivery, providing a fully integrated port-to-door service. In addition, Freightliner’s heavy haul subsidiary provides bulk rail freight service throughout the UK, primarily serving the aggregates, cement, coal and waste industries, and provides infrastructure train service to Network Rail, the UK rail network infrastructure owner.