Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of regional rail operator RailAmerica
So what: Genesee agreed to pay $1.4 billion, or $27.50 per share, for RailAmerica. The 11% premium for the buyout may not seem like much, but the price that Genesee is paying is almost 30% above the closing price on May 21, which was the day before RailAmerica announced that it was looking to sell itself.
The deal will put a significant amount of new debt on Genesee's balance sheet as it's gotten $2.3 billion in committed debt financing from Bank of America
Now what: The deal here has one financial institution -- Fortress Investment Group
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