Genesee & Wyoming Inc. (G&W) has completed the acquisition of Providence and Worcester Railroad Company (P&W) for $25 per share, or approximately $126 million.
Following the closing of the acquisition, G&W transferred the stock of P&W to a voting trust with R. Lawrence McCaffrey appointed as trustee, which will remain in effect until the U.S. Surface Transportation Board (STB) approves G&W’s control of P&W. This is anticipated to occur in the fourth quarter of 2016.
Upon receipt of STB approval, P&W would be managed as part of G&W’s Northeast Region, led by Senior Vice President Dave Ebbrecht.
P&W is contiguous with G&W’s New England Central Railroad (NECR) and Connecticut Southern Railroad (CSO). P&W provides rail service to three ports (Providence, Davisville and New Haven) and to a U.S. Customs bonded intermodal terminal in Worcester.
Morgan Stanley & Co. LLC served as G&W’s financial advisor, and Simpson Thacher & Bartlett LLP served as G&W’s legal advisor.