BNSF, the railroad giant owned by Warren Buffett’s Berkshire Hathaway, is working with Goldman Sachs to explore a takeover of a rival, according to people familiar with the matter.
Its interest comes as its chief rival, Union Pacific, pursues a takeover of Norfolk Southern, Semafor reported Thursday, which would create the country’s only coast-to-coast railroad and leave BNSF at a disadvantage. (Both Union Pacific and Berkshire are headquartered in Omaha, Nebraska.)
BNSF recently hired bankers from Goldman, which four years ago helped broker the industry’s last big merger, between Canadian Pacific and Kansas City Southern. It wasn’t immediately clear whether BNSF has its eye on Norfolk or the other East Coast carrier, CSX. But its interest would set off a free-for-all among large railroads and pose a test of the Trump administration’s enthusiasm for industrial consolidation.
A spokesperson for BSNF, which was acquired by Berkshire in 2010, did not respond to a request for comment. A spokesperson for Goldman Sachs declined to comment.
Source link
