(The following article by Lori Becker was posted on the Palm Beach Post website on November 16.)
PALM BEACH, Fla. — Boca Raton-based RailAmerica Inc., the largest short-line railroad operator in North America, is going private, selling to a New York investment firm in a cash deal valued at $1.1 billion.
Fortress Investment Group LLC is buying the rail company for about $638 million, or $16.35 a share – 32 percent more than RailAmerica’s closing price Tuesday of $12.38. The sale, announced Wednesday morning, also includes the refinancing of RailAmerica’s existing debt.