Genesee & Wyoming acquire Emons Transportation
Dec 4, 2001 12:00 PM
Genesee & Wyoming Inc, Greenwich CO, has signed an agreement to acquire Emons Transportation Group Inc, York PA, for $18.5 million in cash and the assumption by GWI of approximately $10.9 million of debt, net of cash. The cash payment is to purchase the outstanding shares of Emons at $2.50 per share and GWI will fund the acquisition under its revolving credit facility.
The acquisition will be accomplished by a merger of a newly formed subsidiary of GWI with Emons. Emons is a short line railroad holding company with operations in Maine, New Hampshire, Vermont, and Pennsylvania, and Quebec, Canada. Emons' principal subsidiaries, the St Lawrence and Atlantic Railroad Company and the St Lawrence and Atlantic Railroad (Quebec) Inc, operate over 260 miles of track that runs from Portland ME to Ste Rosalie, Quebec, where the SLQ interchanges with the Canadian National Railway Company.