JACKSONVILLE, Fla. – GMéxico Transportes S.A. de C.V., the transportation business unit of Grupo México, and the Florida East Coast Railway Holdings Corp. have entered into a purchase agreement to acquire FEC in an all cash transa...
http://trn.trains.com/news/news-wire/2017/03/28-grupo-mexico-to-acquire-fec
Brian Schmidt, Editor, Classic Trains magazine
Was waiting to see how long it took to pick up on this after it appeared in Progressive Railroading this morning.
From the sound of it, the railroad management doesn't think it will be replaced after the takeover is complete.
Well, they listened when Trump said buy American!
Is this part of the 'Make Mexico Great Again' initiative?
Never too old to have a happy childhood!
RME Was waiting to see how long it took to pick up on this after it appeared in Progressive Railroading this morning. From the sound of it, the railroad management doesn't think it will be replaced after the takeover is complete.
http://blogs.barrons.com/emergingmarketsdaily/2015/04/28/union-pacifics-hidden-asset-in-mexico/
Union Pacific is a 26 % share holder in "FerroMex". The Current Newswire article, alludes to the potential for adding connections( while becoming through those Class III railroad connections), a pretty good 'opportunity' to become a real, transcontinental, coast to coast, operation(?); with the East end being the FEC RR via the 'purchase' by Grupo Mexico.
So with the "EHH, new management" at CSX, a person has to wonder if this might be the opening salvo in the next U.S. Merger Race. Will be interesting to watch this next phase of American railroading unfold in the near future
Also interesting, that currently, KCS, has trackage into the Port of Moblie, Al. as a part of its' System; and shares its system with KCS de M which is more or less equal in its system to the Grupo Mexico lines.
Grupo Mexico is reportedly looking to start their own energy production company and has participated in lease auctions for natural gas-producing tracts.
Perhaps they will be selling FEC some company LNG. In turn, once FEC has become proficient at LNG use, they may be able to propagate that knowledge to Grupo Mexico's railroad FerroMex.
I always thought BNSF would have made a play for FEC and would have tried to get further trackage rights from Atlanta to Jacksonville.
If Grupo Mexico becomes the owner of the FEC as a operating railroad, and FEC Industries is the owner/operator of Brightline, what 'deal' if any will FEC cut for FECI to operate Brightline trains? Or will the new FEC say it is freight only?
Once you start spliting the entities I am not liking Brightline as ever becoming operational.
BaltACD If Grupo Mexico becomes the owner of the FEC as a operating railroad, and FEC Industries is the owner/operator of Brightline, what 'deal' if any will FEC cut for FECI to operate Brightline trains? Or will the new FEC say it is freight only? Once you start spliting the entities I am not liking Brightline as ever becoming operational.
I thought the same thing, seeing as Amtrak has such problems as a tennant to the freight RRs. However, in one of the articles I read, FEC Industries (parent of Brightline) indicated they had retained ironclad operating access for the passenger trains as part of the transaction to spin off FEC rail.
BaltACD Is this part of the 'Make Mexico Great Again' initiative?
The Mexican government has to keep an eye on entitlement programs instead of borrowing from the rest of the world to fund them. Because of international commitments they made due to past indebtedness......some of those commitments were made at the behest of the United States which does not set any kind of example in the same area.
Will Mar-A-Lago become a stop for Brightline?
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