Watco Railroad Company Holdings has reached a definitive agreement to acquire the stock of Ann Arbor Railroad.
The Watco Companies’ subsidiary said the transaction will close into a voting trust whose trustee will control the short line railroad until the U.S. Surface Transportation Board approves the transaction. A voting trust is a standard process to manage the purchase of railroads during the U.S. regulatory process.
The Ann Arbor Railroad links Ann Arbor, Mich., and Toledo, Ohio, with an emphasis on serving the automobile industry in Toledo and other manufacturing in the region. Class I connections include Canadian National, CSX Transportation and Norfolk Southern.