News reports say that BNSF Railway has hired Goldman Sachs to advise it about a potential rail merger.
Semafor, an online publication, reported on Monday evening that BNSF has engaged Goldman Sachs in the wake of Union Pacific working with Morgan Stanley regarding potential mergers. Both reports cited people familiar with the matter. The railroads and investment banks declined to comment.
The report said it was not clear whether BNSF was interested in CSX or Norfolk Southern. NS is reportedly the target of Union Pacific, and the two railroads have been in merger talks since the first quarter, the Associated Press reported last week.
Meanwhile, Reuters reports that CSX is now seeking an investment banking firm to advise it about potential mergers.
There has not been a big merger involving the major Class I systems since the Surface Transportation Board adopted tighter merger review regulations in 2001.
Note: Updated at 8 a.m. Central with information about CSX seeking investment bank advice.
