InfraRed Capital Partners and Rail Modal Group Join Forces for Strategic Growth

In a strategic move poised to reshape the logistics landscape, InfraRed Capital Partners, a prominent international infrastructure asset manager, has announced the acquisition of a majority stake in Rail Modal Group (RMG), an inland intermodal terminal and logistics platform focused on streamlining agricultural exports from the U.S. Founded in 2018 by Greg Oberting, who will continue to steer the company as CEO, RMG has efficiently facilitated the movement of freight from producers to international markets.

With its four large-scale terminals, RMG plays a pivotal role in connecting agricultural producers, processors, and other businesses with the North American rail network and major port gateways. The company's focus is on optimizing the logistics process, enabling U.S. shippers to access global markets effectively. By consolidating freight onto full-length unit trains, RMG has already shipped over 1,200 unit trains, equating to approximately 200 million truck miles saved. This not only enhances cost efficiency but also supports sustainability by reducing road congestion and emissions.

Intermodal rail transloading has emerged as a crucial link in the American logistics chain, facilitating the transport of over 20 million containers annually. With more than 40% of long-distance freight in the U.S. utilizing rail transport, RMG's services are vital for the agricultural sector, valued at around $1.5 trillion. Much of this production occurs away from major marine export terminals, underscoring the importance of RMG's infrastructure in bridging this gap.

The collaboration between InfraRed Capital Partners and Rail Modal Group promises significant growth opportunities. Filip Guz, Partner and Head of Americas Investments at InfraRed, expressed confidence in RMG's established infrastructure and strong customer relationships. Guz highlighted the company's unique network and potential for development, indicating that InfraRed's expertise and resources would bolster RMG's capacity and resilience.

Greg Oberting emphasized that this acquisition is a vital milestone for RMG and the entire team’s dedication to advancing the business. He acknowledged InfraRed's comprehensive understanding of the logistics industry and the indispensable role RMG plays in the North American supply chain. Oberting articulated excitement for the future, focusing on broadening service capabilities and expanding the company’s operational footprint.

Financial specifics of the deal have not been disclosed, yet the strategic alignment of InfraRed’s substantial global reach and RMG’s innovative logistics solutions positions both companies favorably for sustainable growth. The continuity of leadership under Oberting ensures that RMG will maintain its core values while being empowered to expand its impact in the agricultural sector.

This partnership marks a progressive step towards enhancing the infrastructure that supports U.S. agriculture in global markets, with both companies poised to capitalize on the rising demand for efficient and sustainable logistics solutions. As the agricultural sector navigates the complexities of international trade and fluctuating market demands, the investment from InfraRed Capital Partners may very well become a game-changer in U.S. export logistics.

Topics Business Technology)

【About Using Articles】

You can freely use the title and article content by linking to the page where the article is posted.
※ Images cannot be used.

【About Links】

Links are free to use.