JACKSONVILLE, Fla. — Ferromex owner Grupo Mexico is in the process of acquiring Florida East Coast Railway at a cost of more than $2 billion, reports the Reuters news service, which cites people familiar with the matter. The deal could be finalized as early as this week.
According to the article, Mexico’s largest railroad has prevailed in an auction to acquire the regional railroad and is currently in discussions with its owner, Fortress Investment Group, LLC.
Fortress declined to comment. Neither Ferromex nor Florida East Coast immediately responded to requests for comments by Reuters.
Florida East Coast Railway operates more than 350 miles of track between Jacksonville and Miami.
Trains News Wire will update information on this developing story as it becomes available.
Edited to clarify that Ferromex owner Grupo Mexico is interested in FEC.
Mr. Cropper, no. UP owns a small chunk of Ferromex and Grupo Mexico owns the rest. It is the big daddy Grupo Mexico that is buying FEC, not Ferromex itself.
Doesn’t Union Pacific own a 26% stake in Ferromex? If Ferromex acquires FEC, then would UP have partial ownership of FEC thru Ferromex?
What do we know about Ferromex’s record in Mexico?
I do recall from a recent Trains artical they own the Kansas & Orient, no? And in their care (and with luck from the oil boom) they revived that property to an extent. Or have I confused things?
How about THAT???
We don’t need no steenkin’ acquisition.
Thank goodness the G&W didn’t get them!!!!
Not real comfortable with the nation’s railroads being owned by aliens.
Not who I would have thought of acquiring FEC
Where does that leave Brightline?
Well, there’s a headline I never thought I’d read. Wow.