The acquirer is acquired but continues to grow
The Central of Georgia was acquired by the Richmond Terminal Company in 1887. The new company issued overvalued bonds based on the good credit of the Central. This resulted in huge corporate debts.
Under its new ownership, the Savannah & Western Railroad (S&W) was founded in 1888 as a Central subsidiary. It acquired several small railroads, pushing further into Alabama and across the Tennessee border. Shortly after it was founded the S&W purchased the 157-mile Columbus & Western (C&W), which connected Columbus with Birmingham, Alabama. In addition, a branch line ran from near the Alabama state line at Opelika to Roanoke.
FreightWaves Classics: Central of Georgia Railway persevered (Part 2) freightwaves.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from freightwaves.com Daily Mail and Mail on Sunday newspapers.
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