The Wheeling & Lake Erie, the over 800-mile regional railroad that runs through Ohio, West Virginia, Maryland, and Pennsylvania, is being sold to FTAI Infrastructure, Inc., for $1.05 billion. Once approved by federal regulators, the railroad will become part of FTAI’s Transtar. 

The Wheeling & Lake Erie was founded in 1990 after acquiring some former Norfolk Southern routes, some of which belonged to the original W&LE that operated from 1877 until it was leased to the Nickel Plate Road in 1949. The railroad maintains a fleet of EMD locomotives in a Denver & Rio Grande Western-inspired livery. Transtar operates seven different short lines across the country, including the Union Railroad Company, which interchanges with W&LE. 

In a statement announcing the sale, W&LE officials stated the transaction would help the railroad stay competitive for decades to come. 

“This strategic transaction represents a pivotal moment in the W&LE’s history. Since 1992, under the leadership of Larry Parsons, we’ve undergone a remarkable transition from a distressed shortline to a high-performing regional carrier. Our growth has been defined by operational reinvestment, network expansion, and a steadfast focus on customer service, positioning us as one of the leading regional railroads in North America,” railroad officials wrote. “The decision to partner with FTAI and Transtar was made with the best long-term interests of our customers and company.”

The railroad stated that the W&LE’s current brand will stay the same. The sale is expected to close during the third quarter of this year, when the railroad will be put into a voting trust pending approval by the U.S. Surface Transportation Board.

—Justin Franz