Ridgewood Infrastructure acquires Sierra Railroad Co.

Ridgewood Infrastructure, a U.S. infrastructure investment firm, yesterday announced it acquired a controlling interest in California-based Sierra Railroad Co., parent of Sierra Northern Railway.

Sierra provides freight-rail, switching, storage and transloading services to a diversified customer base across the industrial, agricultural and energy supply chains. Simultaneously with Ridgewood's investment, Sierra is acquiring Central Valley Ag Transport, an agricultural products transload facility owner and operator serving customers along Sierra Northern's rail network.

The transaction also includes Sierra's Railpower Inc. subsidiary, which owns and operates a Federal Railroad Administration–approved hydrogen-powered locomotive.

Financial terms were not disclosed. 

"Our team brings deep experience owning and operating short line and other railroad businesses across the United States, and we see meaningful opportunities to build on Sierra's strong foundation by driving additional freight volumes for both existing customers and new customers, expanding transload capabilities and supporting innovation across the platform," said Ryan Stewart, a partner at Ridgewood Infrastructure, in a press release.

Sierra Northern's 130-mile network is located near core dairy and agricultural regions, major West Coast ports and industrial demand centers, enabling last-mile connections across essential supply chains.

"In selecting a partner for Sierra, it was critical to find an investor with the sector expertise, aligned strategic perspective, and financial capacity to support the company's next phase of growth," said Mike Hart, founder and CEO of Sierra Railroad Co. "Sierra had reached a point where meaningful near-term investment was required to pursue identified opportunities."