San Diego Business Journal

Pacific Imperial Railroad Enters Strategic Agreement With Diamond, to Raise Up to $150M

By Mike Allen Tuesday, April 1, 2014

Pacific Imperial Railroad Inc., the San Diego company leasing the San Diego and Arizona Railroad that runs from San Diego into Baja Norte and back to the United States at El Centro, said it entered into a strategic advisory agreement with Diamond Capital Advisors, LLC in connection with raising up to $150 million.

Under the agreement, the funds raised will provide PIR with the money it needs to repair bridges and tunnels and replace track and ties on the 70 miles of track between the U.S.-Mexico border near Tecate and El Centro, PIR said.

Gary Ferrell, Diamond’s managing director, said Diamond understands the significance of providing the required capital to the PIR project, and creating an operating rail line on the old Desert Line that could move rail cars from Baja, California’s maquiladoras to the United States.