GWR - Blue Harbour Group Comments On Genesee & Wyoming Railroad's Agreement To Be Acquired By Brookfield Asset Management And GIC
GREENWICH, Conn., July 1, 2019 /PRNewswire/ -- Blue Harbour Group, L.P., the largest active owner of Genesee & Wyoming Railroad ("GWR"), with approximately 2 million shares representing about 4% of the Company, today commented on GWR's agreement to be acquired by Brookfield Asset Management and GIC for $112 in cash. Blue Harbour began initiating its GWR position early in the second quarter of 2018, when the stock traded at about $75 per share.
Robb A. LeMasters, a Managing Director of Blue Harbour Group, said, "We invested in Genesee & Wyoming because we believed its share price did not reflect its unique combination of short-line railroad market leadership, powerful cash generation, strong balance sheet and experienced management team. It appeared to us that the public market was misvaluing GWR's very strategic North American short line operations in part because of the Company's international businesses. The transaction announced today unlocks the significant shareholder value that GWR's management team has built over many years, both through acquisitions and operational execution, as they assembled the most significant short line railroad footprint in North America."
"We are confident that Brookfield and GIC will be excellent partners for GWR and we congratulate GWR's management team and Board for entering into this transaction," Mr. LeMasters concluded.
Blue Harbour Group was formed by Clifton S. Robbins in 2004 to pursue an Active Ownership investment strategy by acting as a lead minority shareholder primarily in U.S. publicly traded companies, and working collaboratively with managements and boards to identify initiatives to create and unlock shareholder value. In 2016 the firm developed a framework and process to fully integrate Environmental, Social, and Governance (ESG) considerations into all investment decisions and engagements. Blue Harbour manages capital on behalf of pension funds, endowments, foundations and other institutional investors.
CONTACT:
Adam Weiner
Kekst CNC
Adam.Weiner@kekstcnc.com
(212) 521-4823
SOURCE Blue Harbour Group, L.P.