Mexican railroad buys Florida East Coast

MEXICAN industrial conglomerate Grupo México has agreed to buy Florida-based railroad Florida East Coast from US investment group Fortress, paying around $2 billion.

Grupo México owns the majority of two of Mexico’s main rail operators (55.4% of Ferromex and 74.9 % of Ferrosur).

Ferromex locos travel deep into the USA and wagons even reach Canada, partly because the minority shareholder in Ferromex is US Class 1 railroad Union Pacific. A pair of Ferromex GE-built ES44AC GEVO locos – 4622 and 4601 – along with a BNSF GE C44-9W 4538 are seen at El Paso, Texas on January 19, 2009 just inside the USA. The border is the big fence immediately behind the locos, with the Mexican city of Ciudad Juárez visible beyond. KEITH FENDER

Florida East Coast has its own 565km-long route between Miami and Jacksonville and interchanges freight with other US Class 1 railroads. Fortress will retain ownership of the new
inter-city passenger operator
All Aboard Florida (to operate from later this year as Brightline – see RM Feb 2017, p97), which will partly use Florida East Coast tracks.

Article continues below...

Enjoy more Railway reading in the monthly magazine.
Click here to subscribe & save.

Read more News and Features in the May issue of The RM – on sale now!


Article continues below...

Subscribe to The Railway Magazine Enjoy more of The Railway Magazine reading every month. Click here to subscribe.