Passenger Trains > Virgin Trains USA (Brightline) to go public, wants to expand

https://www.miamiherald.com/news/business/article221806725.html

"On the same day it announced a major rebranding as Richard Branson’s Virgin Group became an investor, the private train company formerly known as Brightline quietly filed with the Securities and Exchange Commission to become a publicly traded company."

“We are the first new major private passenger intercity railroad in the United States in over a century, and we believe our business represents a scalable model for twenty-first century passenger travel in North America,” the company says in the filing. “Our goal is to build railroad systems in North America that connect major metropolitan areas with significant traffic and congestion. We believe that the economics of passenger rail service offer a highly compelling investment opportunity.”

"The company states its desire to expand to other routes, including Atlanta to Charlotte, North Carolina, Dallas to Houston, and Los Angeles to San Diego. That’s in addition to its proposed Tampa-Orlando route, and its recently acquired Southern California-to-Las Vegas route."

I wonder what their plans are for Los Angeles to San Diego that isn't already being done, or would be exceptionally expensive to do?

Does UP know that Virgin recently acquired the LA to Las Vegas route? LOL

More like it represents a model to take people's money!

mp51w Wrote:
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> More like it represents a model to take people's
> money!

Exactly.  Did anyone think Fortress, or Virgin for that matter, would continue to pour their own money into it?  The Virgin name will give the IPO a marketing boost, which may be why Branson invested with Fortress in the first place.  These guys are multi-billionaires for a reason.   Then, once they become a public company they'll be beholden to Wall St analysts and institutional investors which doesn't always work out so well.

Public investors don't always make out well as minority investors where founders etc retain control.

In this case, the public shareholders will be in a third tier. That's rarely a good place to be. Fortress and Branson retain control o the BrightLine / Virgin Rail. The international investment firm Softbank owns a controlling share of Fortress, that's the first tier. In each case, the founders of Fortress, Branson, and Softbank cashed out portions of their investment by selling to public shareholders, but retain effective control.

Softbank made a splash when it promised to create 50,000 new US jobs in celebration of President Trump's election.  Perhaps the Virgin Trains will become part of that.

https://www.institutionalinvestor.com/article/b1505p66vq06cy/the-fall-of-fortress

Posted from Android



Edited 1 time(s). Last edit at 11/30/18 07:41 by Lackawanna484.

ATSF3751 Wrote:
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> Does UP know that Virgin recently acquired the LA
> to Las Vegas route? LOL

Umm, it’s not the UP route that was acquired. They aquired the XpressWest franchise that intends to build a high speed line in the I-15 right of way.

Posted from iPhone

kevink Wrote:
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> ATSF3751 Wrote:
> --------------------------------------------------
> -----
> > Does UP know that Virgin recently acquired the
> LA
> > to Las Vegas route? LOL
>
> Umm, it’s not the UP route that was acquired.
> They aquired the XpressWest franchise that intends
> to build a high speed line in the I-15 right of
> way.
>
> Posted from iPhone

Some of that I-15 right of way is built on an easement the state got from the BLM. Should be "interesting" to see if XpressWest can get the BLM to sign off on them using the easement too.
CalTrans and NVDOT are government agencies, XpressWest is a for profit company. 

BLM = ?

Roadbed Wrote:
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> BLM = ?

Bureau of Land Managment.

Posted from iPhone

PHall Wrote:
-------------------------------------------------------
> kevink Wrote:
> --------------------------------------------------
> -----
> > ATSF3751 Wrote:
> >
> --------------------------------------------------
>
> > -----
> > > Does UP know that Virgin recently acquired
> the
> > LA
> > > to Las Vegas route? LOL
> >
> > Umm, it’s not the UP route that was acquired.
> > They aquired the XpressWest franchise that
> intends
> > to build a high speed line in the I-15 right of
> > way.
> >
> > Posted from iPhone
>
> Some of that I-15 right of way is built on an
> easement the state got from the BLM. Should be
> "interesting" to see if XpressWest can get the BLM
> to sign off on them using the easement too.
> CalTrans and NVDOT are government agencies,
> XpressWest is a for profit company. 

Well, Brightline managed to get easement from Deseret Ranch for the Cocoa to OIA. Specially given what the Federal Government is upto these days, it should not be that difficult to pay them off to get a little sliver of easement I am sure. :) It is all business as usual these days. Besides, why would BLM want to block use of land to provide efficient transportation, even if the Federal Government behaved a biot more sanely than it does of late?

>
> Besides, why would BLM want to block use of land to provide efficient transportation... 
>

How could a new rail line between the SoCal high desert and Las Vegas be "efficient"? Where can the most recent capital and operating cost estimates & ridership forecasts be found? Let's do the math...



Edited 1 time(s). Last edit at 11/30/18 09:25 by Duna.

Duna Wrote:
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> >> Besides, why would BLM want to block use of
> land to provide efficient transportation... How
> could a new rail line between the SoCal high
> desert and Las Vegas be "efficient"? Where can
> the most recent capital and operating cost
> estimates & ridership forecasts be found? Let's do
> the math...

I had energy efficiency in mind. So you are on your own if you wish to find financials. Eventually Virgin Train USA will provide it as part of their SEC filings after they go public, but until then ....

Jishnu Wrote:
-------------------------------------------------------
> Duna Wrote:
> --------------------------------------------------
> -----
> > >> Besides, why would BLM want to block use of
> > land to provide efficient
> transportation... How
> > could a new rail line between the SoCal high
> > desert and Las Vegas be "efficient"? Where can
> > the most recent capital and operating cost
> > estimates & ridership forecasts be found? Let's
> do
> > the math...
>
> I had energy efficiency in mind. So you are on
> your own if you wish to find financials.
> Eventually Virgin Train USA will provide it as
> part of their SEC filings after they go public,
> but until then ....

As if this fantasy will ever be built...lol. It's just another in a long list of hope & dream projects who's real function is to move money, not people, from one place to another. Same as the CAHSR cash machine that's finally starting to dry up.



Edited 1 time(s). Last edit at 11/30/18 09:25 by Duna.

Everyone is free to believe whatever they like. More so these days than ever before LOL!

Jishnu Wrote:
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> Everyone is free to believe whatever they like.
> More so these days than ever before LOL!

Yes.

Everyone is entitled to their own opinion. But not their own "facts".

Posted from Android

Lackawanna484 Wrote:
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> Jishnu Wrote:
> --------------------------------------------------
> -----
> > Everyone is free to believe whatever they like.
> > More so these days than ever before LOL!
>
> Yes.
>
> Everyone is entitled to their own opinion. But not
> their own "facts".
>
> Posted from Android

According to "some" people, there are "Alternative Facts"...

PHall Wrote:
-------------------------------------------------------
> Lackawanna484 Wrote:
> --------------------------------------------------
> -----
> > Jishnu Wrote:
> >
> --------------------------------------------------
>
> > -----
> > > Everyone is free to believe whatever they
> like.
> > > More so these days than ever before LOL!
> >
> > Yes.
> >
> > Everyone is entitled to their own opinion. But
> not
> > their own "facts".
> >
> > Posted from Android
>
> According to "some" people, there are "Alternative
> Facts"...

That's exceptionally good advice in reading a prospectus for a securities offering like BrightLine. Wishes and hopes are often presented as done deals, estimates on trafic volumes are wildly over stated, etc.

I'm intrigued to note that BrightLine still sells a lot of $10 seats for the West Palm Beach to Miami segment.  That's not what I would have expected after 10 months...

Lackawanna484 Wrote:
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> I'm intrigued to note that BrightLine still sells
> a lot of $10 seats for the West Palm Beach to
> Miami segment.  That's not what I would have
> expected after 10 months...

What's the traffic and parking situation look like there? The train might be cheaper then driving and parking.

PHall Wrote:
-------------------------------------------------------
> Lackawanna484 Wrote:
> --------------------------------------------------
> -----
> > I'm intrigued to note that BrightLine still
> sells
> > a lot of $10 seats for the West Palm Beach to
> > Miami segment.  That's not what I would have
> > expected after 10 months...
>
> What's the traffic and parking situation look like
> there? The train might be cheaper then driving and
> parking.

BrightLine is sometimes cheaper than the slower, makes all stops local train run by Tri-Rail.

Parking is $6 on weekdays.

Posted from Android

Mr.Branson has always been fond of South Florida. Virgin Atlantic has served Miami for at least  3 decades, Virgin Voyages will start serving the Port of Miami in 2019/2020 and now Virgin Trains USA is starting up.