List Your Equipment For Free  /  Seller Login

Mexican Mining Company Acquires Florida Railway For $2 Billion

Grupo Mexico Transportes said it will acquire 100 percent of the company's shares and assume its debt.

Wed March 29, 2017 - National Edition
Construction Equipment Guide


Mexican mining and rail conglomerate Grupo Mexico said March 28 that it has reached an agreement to buy Florida East Coast Railway Holdings Corp. for $2.1 billion.

Grupo Mexico Transportes said it will acquire 100 percent of the company's shares and assume its debt, pending approval of the deal by regulatory authorities. The transaction will be financed by $350 million in Grupo Mexico funds and $1.75 billion in debt.

Florida East Coast Railways operates a 351-mile freight system along Florida's Atlantic coast from Jacksonville to Miami. The railroad was founded in 1885 by Henry Flagler, a Standard Oil tycoon who developed resorts and communities on the state's coast.

The Jacksonville-based company finished construction of an overseas railway to Key West in 1912, but the line was heavily damaged by a hurricane in 1935. Florida's government bought the rail line to Key West and converted it into a highway.

The company was purchased in the 1930s by heirs of the du Pont family. In 2007, it was purchased by Fortress Investment Group.—AP




Today's top stories

Construction Market Boosts Economy

Bobcat Company Donates $885,000 in Equipment to Support Salvation Army's Disaster Relief Efforts

VIDEO: KEMROC Expands; Plans to Increase Nationwide Presence

'Machinery Pete' Interviews Jack Lyon On RFD TV

Huntsville, Ala.'s Sandra Moon Community Complex to Begin Final, $31.3M Phase of Work

Unique Skid Steer Tire Increases Snow Clearing Performance, Safety

New Deutz Power Center Mid-Atlantic Opens in Ashland, Va.

2025 CGA Conference & Expo Opens Registration On Nov. 6


 







39.96118 (ip) \\ -82.99879 (ip) \\ Columbus (ip) \\ OH (ip)