Regional Rail expands shortline roster, acquires Minnesota Commercial
Shortline operator Regional Rail expanded its network with the acquisition of Minnesota Commercial Railway. The post Regional Rail expands shortline roster, acquires Minnesota Commercial appeared first on FreightWaves.
Regional Rail, an owner and operator of shortline freight railroads, has expanded its network by acquiring the Minnesota Commercial Railway (MNNR).
Based in St. Paul, Minnesota Commercial is an 86-mile railroad that serves the Minneapolis-St. Paul area, connecting directly with four Class I railroads and the Twin Cities & Western Railroad. It offers a range of services including freight-hauling, storage and transload to a diverse customer base in industries such as metals, fuel and oil, chemicals and plastics, food and agriculture, and lumber.
Additionally, MNNR operates Commercial Transload of Minnesota, which provides warehousing, transloading and trucking services to local manufacturers.
No terms were disclosed.
The acquisition marks a significant growth in Regional Rail’s operations, expanding its North American footprint to 17 railroads spanning nine U.S. states and two Canadian provinces. The company is headquartered in Kennett Square, Pennsylvania.
“We are honored that Becky Gohmann has entrusted Regional Rail to continue the legacy established by the late John Gohmann at the Minnesota Commercial, and we are excited to partner with the team at the MNNR and CTM to expand these operations and strengthen the business for the future,” said Al Sauer, president and chief executive of Regional Rail, in a release.
The acquisition is a strong strategic move, emphasized Rob Collins, managing partner and head of North American infrastructure at 3i (OTC: TGOPY), Regional Rail’s backer. He remarked in the release, “Minnesota Commercial is a great fit for Regional Rail’s strategy of partnering with strong local operators, while preserving the legacy and history of its founder. We look forward to providing continued support to Regional Rail for all future opportunities.”
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