PANAMA CITY, PANAMA (Piero Stewart, Energy Analytics Institute, 2.Apr.2025) — Canadian Pacific Kansas City Limited, together with Lanco Group/Mi-Jack, sold the Panama Canal Railway Company (PCRC) to APM Terminals, a global terminal operator and an independent division of A.P. Moller – Maersk.
PCRC provides ocean-to-ocean freight and passenger services along the Panama Canal and has been a 50/50 joint venture between CPKC subsidiary Kansas City Southern and Lanco Group/Mi-Jack since its formation in 1998. In 2024, the PCRC generated revenue of $77mn and EBITDA of $36mn.
“The sale of this non-core asset creates value for our shareholders and reflects our commitment to optimize our assets as we focus on growing our core North American rail business through our unrivalled three-nation network connecting Canada, the United States and Mexico,” CPKC president and chief executive officer (CEO) Keith Creel said in the statement.
PCRC was formed when it was awarded a concession from Panama to reconstruct and operate the Panama Canal Railway, a 47-mile railway located adjacent to the Panama Canal. It is a north-south railway traversing the isthmus of Panama between the Atlantic and Pacific oceans and part of Panama’s logistics network.
BofA Securities, Inc. and Lazard Frères & Co. are serving as financial advisors to PCRC, CPKC, and Lanco Group/Mi-Jack, and Sullivan & Cromwell LLP is serving as legal counsel.
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By Piero Stewart reporting from Panama City. © 2025 Energy Analytics Institute (EAI). All Rights Reserved.
