G&W closes on Providence and Worcester acquisition

Genesee & Wyoming Inc. (G&W) has closed on its acquisition of Providence and Worcester Railroad Co. (P&W) for $25 per share, or $126 million, the company announced yesterday.

Following the closing, G&W transferred the P&W stock to a voting trust, with R. Lawrence McCaffrey appointed as trustee. The trust will remain in effect until the U.S. Surface Transportation Board approves G&W's control of P&W, according to a G&W press release.

After STB approval, P&W would be managed as part of G&W's Northeast Region, which is led by Senior Vice President Dave Ebbrecht.

Headquartered in Worcester, Mass., and operating in Rhode Island, Massachusetts, Connecticut and New York, P&W is contiguous with G&W's New England Central Railroad and Connecticut Southern Railroad.

Morgan Stanley & Co. LLC served as G&W's financial adviser, and Simpson Thacher & Bartlett LLP served as G&W's legal adviser.