AusRAIL, Market Sectors

Wesfarmers show appetite for Freight Australia

<p>Wesfarmers has stepped forward as a likely bidder for Victorian-based rail operator Freight Australia.</p> <p>Wesfarmers CEO Michael Chaney told Channel Nine that the company has been interested in Freight Australia for some time.</p> <p>"We have had had discussions with various parties about that asset over the years actually and it is possible that we will have an involvement there in due course, but time will tell," Mr Chaney said.</p> <p>Wesfarmers already has a 50% share in the Australian Railroad Group, and Mr Chaney told the network that Freight Australia might represent a good investment opportunity.</p> <p>"We were a bidder for National Rail and Freightcorp, for example, and we missed out on that bid, and we are interested in expanding our rail opportunities as we see chances to do so," he said.</p> <p>Freight Australia is expected to sell for between $350m and $400m.</p> <p>Queensland Rail, Toll Holdings and now Wesfarmers have expressed some interest in the sale. </p> <br />