Maersk-owned port operating firm APM Terminals has acquired the Panama Canal Railway Company (PCRC) from Canadian Pacific Kansas City (CPKC) and the Lanco Group/Mi‑Jack.
PCRC, which has been a 50/50 joint venture between CPKC subsidiary Kansas City Southern and Lanco Group/Mi-Jack since its formation in 1998, operates a 76-km (47-mile) single-line railway adjacent to the Panama Canal that mainly facilitates cargo movement between the Atlantic and Pacific Oceans.
In 2024, PCRC reported revenue of US$77 million and earnings before interest, taxes, depreciation, and amortization (EBITDA) of US$36 million.
Keith Svendsen, CEO of APM Terminals, described the Panama Canal Railway Company as an “attractive infrastructure investment”, which also aligns with APM Terminals’ core services of intermodal box movement.
Keith Creel, CPKC President and CEO, commented: “The sale of this non-core asset creates value for our shareholders and reflects our commitment to optimize our assets as we focus on growing our core North American rail business through our unrivalled three-nation network connecting Canada, the United States and Mexico.”
