Divestiture • Transportation

Genesee & Wyoming Acquires Glencore Rail Pty

On October 20, 2016, Genesee & Wyoming acquired transportation company Glencore Rail Pty from Glencore for 1.1B AUD

Acquisition Context
  • This is Genesee & Wyoming’s 22nd transaction in the Transportation sector.
  • This is Genesee & Wyoming’s 2nd largest (disclosed) transaction.
  • This is Genesee & Wyoming’s 3rd transaction in Australia.

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M&A Deal Summary

Date October 20, 2016
Target Glencore Rail Pty
Sector Transportation
Buyer(s) Genesee & Wyoming
Sellers(s) Glencore
Deal Type Divestiture
Deal Value 1.1B AUD
Advisor(s) King & Wood Mallesons (Legal)

Target Company

Glencore Rail Pty

Sydney, Australia
GRail’s coal haulage business was established in 2010 as an alternative rail service provider to the incumbent railroads in the Hunter Valley and has grown to be the third largest coal haulage business in Australia. GRail since inception and presently provides haulage and logistics services for approximately 40 million tonnes per year of steam coal that is among the lowest cost and highest quality coal in the world.
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Buyer Overview 1

Buyer

Genesee & Wyoming

Darien, Connecticut, United States

Category Company
Founded 1899
Sector Transportation
Employees8,000
Revenue 2.3B USD (2018)
DESCRIPTION

Genesee & Wyoming owns and operates short line and regional freight railroads and provides railcar switching services in the United States, Australia, Canada, the Netherlands and Belgium. Genesee & Wyoming was founded in 1899 and is based in Darien, Connecticut.


Deal Context for Buyer #
Overall 23 of 26
Sector: Transportation 22 of 24
Type: Divestiture 12 of 14
Country: Australia 3 of 3
Year: 2016 2 of 3
Size (of disclosed) 2 of 17
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-08-15 The Providence and Worcester Railroad Co.

Worcester, United States

The Providence and Worcester Railroad Co. is an interstate regional freight carrier conducting railroad operations in Massachusetts, Rhode Island, Connecticut and New York. The P&W possesses the exclusive and perpetual right to conduct freight operations over the Northeast Corridor between New Haven, CT and the Massachusetts / Rhode Island border.

Buy $126M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2016-12-12 Pentalver Transport

London, United Kingdom

Pentalver Transport Ltd. is a provider of off-dock container terminals (most under long-term lease) strategically placed at each of the four major seaports of Felixstowe, Southampton, London Gateway and Tilbury, as well as an inland terminal located at Cannock, in the U.K. Midlands, near many of the nation’s largest distribution centers.

Buy £87M

Seller Profile 1

SELLER

Glencore

Baar, Switzerland

Category Company
Founded 1974
Sector Metals/Mining
Employees84,146
Revenue 230.9B USD (2024)
DESCRIPTION

Glencore is a provider of physical commodities, including energy (oil and coal), base metals, soft commodities, and agriculture to industrial consumers. These commodities originate from Glencore's directly or indirectly owned production assets or are secured by Glencore from third parties. Glencore also provides financing, logistics, and other supply chain services to producers and consumers of commodities. Glencore was founded in 1974 and is based in Baar, Switzerland.


Deal Context for Seller #
Overall 5 of 8
Sector: Transportation 1 of 1
Type: Divestiture 5 of 8
Country: Australia 2 of 2
Year: 2016 3 of 3
Size (of disclosed) 3 of 4
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-04-06 Glencore Agricultural Products

Switzerland

Glencore Agricultural Products is a globally integrated grain and oilseed business primarily focused on grains, oilseeds products, rice, sugar, pulses and cotton with activities including origination, processing, storage, logistics and marketing. Company have controlled and non-controlled facilities for storage, handling and processing, in strategic locations. The business is supported by an extensive silo and export elevator network. Company suppliers are farmers, farming co-operatives, processing plants, local exporters and global merchants. Company customers include the processing industry (food, animal feed and consumer products), local importers and government purchasing entities.

Sell $2.5B
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2018-11-13 Minera Altos de Punitaqui

Ovalle, Chile

Formed in 2010, Minera Altos de Punitaqui Limitada is a copper and gold mining company based in Ovalle, Chile.

Sell -

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