Canadian National Railway Company has closed on its acquisition of the Manitoba-based transportation service provider TransX Group of Companies.
Terms were not disclosed for the transaction, which was announced in October. TransX, founded in 1963, will continue to be based in Winnipeg and operate independently.
TransX’s services include truckload, LTL, intermodal, warehousing and freight forwarding. It employees 3,000 people and has 1,500 trucks, 4,000 trailers, 1,000 intermodal containers and 12 North American terminals.
“CN and TransX have been supply chain partners for many years. With the acquisition of TransX, CN will continue to support the wholesale and beneficial cargo owner customers, including in the growing service- sensitive, refrigerated transportation business,” said Keith Reardon, CN’s vice president of consumer products supply chain growth, in a statement. “CN will continue to expand capacity and foster additional supply chain solutions to help our partners and customers win in their marketplace.”
The Class I railroad also announced Monday it plans to invest about C$120 million ($89.43 million) in Manitoba in 2019, which is part of CN’s $3.9 billion ($2.91 billion) capital investment plan.
The money will fund planned expansion projects including the construction of a new train passing siding east of Winnipeg and the construction of 6.3 miles of double track west of Portage la Prairie. Maintenance includes the replacement of more than 35 miles of rail, the installation of approximately 59,000 new rail ties, rebuilds of 13 road crossing surfaces and maintenance work on bridges, culverts, signal systems and other track infrastructure.
CN operates 837 miles of railroad in the province.
“Manitoba is a major hub of CN’s transcontinental rail network and home to key facilities such as the Symington classification yard, the Transcona Shops and CN’s Claude Mongeau National Training Centre,” CN said in a press release.