Fort Lauderdale, Fla.-based CRC, through its rail equipment leasing division, will work with TDJ to identify an initial fleet of approximately 6,000 railcars for lease to third parties. TDJ will work with CRC to develop a financing platform that allows CRC to acquire and manage portfolios of railcars.
CRC's railcar leasing division plans to lease the railcars to freight railroads and rail customers throughout North America.
Continental Rail Corp. CEO John H. Marino, Jr. said, "CRC is very pleased to establish this relationship with TDJ, a firm that has over 30 years of experience in structuring capital finance and investments for clients worldwide and was recently ranked #3 Global Financial Advisor by Infrastructure Journal for the first half of 2013. CRC's management team has over 75 years of combined experience in the short line railroad industry, and matching this with TDJ's expertise creates a strategically significant relationship."
Taylor-DeJongh Group President Ibrahim Mardam-Bey said, "The railcar asset class is of unique interest to Taylor-DeJongh and our institutional investor base, and we are pleased to assist Continental Rail with arranging and raising capital for this transaction. We have a successful track record in arranging asset-backed financing with international investors seeking exposure to alternative asset classes. TDJ looks forward to working with CRC in developing this program."
Last July Continental Rail Corp., formerly IGSM Group, Inc., said it was repositioning itself within the railroad industry as a publicly held short line and regional railroad company.