Thursday, August 06, 2009

RailAmerica plans IPO up to $300 million

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RailAmerica, which operates 40 small railroads, is going public and will offer up to $300 million in stock in an initial public offering. The company is owned by Fortress Investment Funds, which also owns the Florida East Coast Railroad.

railamerica.jpgThe company is barred from making public statements for a period following the registration of its planned action with the Securities and Exchange Commission, but the Florida Times-Union of Jacksonville, where RailAmerica is headquartered, reports that Fortress CEO Wesley Edens said earlier this week that “the company is taking advantage of the stronger stock market to raise capital for businesses owned by Fortress funds.”

RailAmerica will be listed on the New York Stock Exchange under the symbol “RA.”