3i Group has announced that a leading owner and operator of short-line freight railroads Regional Rail has acquired a portfolio of freight rail assets located across western Canada from G3 Canada Limited and Great Sandhills Railway in Canada.

The rail portfolio serves a diversified set of industrial customers across a range of agricultural and energy end-markets. The transaction allows Regional Rail to enter the Canadian market, implement the company's growth strategy and provide a high level of customer service. Great Sandhills Railway joins the Regional Rail family of short-line railroads after the support that G3 Canada has provided over the past several years.

During the partnership since 2019, 3i and Regional Rail have more than doubled the size of Regional Rail through the acquisition of ten freight railroads located across North America.