Shares of Genesee & Wyoming Inc. GWR, +8.69% soared 9% toward a record high in premarket trading Monday, after the railroads company agreed to be acquired in a deal valued at $8.4 billion by Brookfield Infrastructure Partners L.P. and GIC. Under terms of the deal, G&W shareholders will receive $112 in cash for each G&W share they own, which is 12% above Friday’s record closing price of $100, and would imply a market capitalization for G&W of about $6.4 billion. The deal is expected to close by year end or early 2020. G&W owns 120 short-line railroads, mostly in North America. The stock has rallied 35% year to date through Friday, while the Dow Jones Transportation Average DJT, +0.72% has gained 14% and the Dow Jones Industrial Average DJIA, +0.70% has advanced 14%.
Genesse & Wyoming's stock soars after $8.4 billion buyout deal with Brookfield, GIC
Bookmark the permalink.