3i-backed Regional Rail acquires G3 Canada’s freight rail assets

• In addition to the Great Sandhills Railway, Regional Rail will acquire interests in three other freight rail assets located in Western Canada
• Since partnering in July 2019, 3i and Regional Rail have more than doubled the size of Regional Rail with the acquisitions of ten freight railroads
• 3i is a UK mid-market infrastructure and private equity firm

Regional Rail, which is backed by 3i Group, has acquired a portfolio of freight rail assets located across Western Canada from G3 Canada. No financial terms were disclosed.

In addition to the Great Sandhills Railway, Regional Rail will acquire interests in three other freight rail assets located in Western Canada.

Regional Rail is a Kennett Square, Pennsylvania-based owner and operator of short-line freight railroads.

On the deal, Rob Collins, managing partner and Head of North American infrastructure of 3i, said in a statement: “The Great Sandhills Railway and other freight companies are a great addition to Regional Rail. We are excited to expand into the Canadian market, where we see significant industrial growth opportunities across the railroads. Since our initial investment in 2019, we have believed Regional Rail offers an attractive platform for consolidation and this acquisition further strengthens that conviction.”

Since partnering in July 2019, 3i and Regional Rail have more than doubled the size of Regional Rail with the acquisitions of ten freight railroads located across North America.

Based in London, UK, 3i Group is a mid-market infrastructure and private equity firm focuse on core markets in North America and Europe.