Anacostia Rail, private equity firm launch transloading terminals venture

Anacostia Rail Holdings Co. (ARH) and Brown Brothers Harriman Capital Partners (BBHCP) yesterday announced they’ve formed Precision Terminal Logistics (PTL), a jointly owned entity that will operate, build and acquire U.S. transloading terminals.

In conjunction with its formation, PTL has acquired select assets from Arrow Material Services LLC, a transloading service provider. Financial terms were not disclosed.

“This is a unique opportunity to bring together quality operating experience with Anacostia/Brown Brothers Harriman strategic insight and market knowledge,” ARH Chief Executive Officer Peter Gilbertson said in a press release.

PTL’s terminals will offer customers a “full suite” of solutions, including materials handling, logistics services, transloading, secure bulk commodity storage and facility construction.

The Arrow Material acquisition enables PTL to start its business with 23 transload facilities in 15 states. The company’s headquarters will be based in Pittsburgh, Pennsylvania.

“We believe this new company has an exciting opportunity in front of it,” said PTL CEO Ray Nixon.

ARH and BBHCP were instrumental in forming an acquisition strategy to buy Arrow Material’s assets, “and our collective experience will enable PTL to be particularly effective at providing creative solutions to transportation companies and end-user facilities,” Nixon added.

BBHCP’s investment in PTL’s creation was made through the BBH Capital Partners Opportunities Fund LP.