PORTLAND — An auction is anticipated for a Maine-based railroad that filed for bankruptcy after a fiery oil train derailment killed 47 people in Canada.
Chapter 11 trustee Robert Keach said there will be an auction Tuesday as long as “multiple bids” received on Friday passed muster.
The minimum bid for the Montreal, Maine & Atlantic Railway was $15.7 million, which reflected an initial “stalking horse” bid by Railroad Acquisition Holdings LLC. But two or more bids also were received by Friday’s deadline.
The bidding and auction process are secret, so there are few details.
In the end, the winning bidder may not be highest bidder. Keach has leeway in determining what’s in the best interest of the public and of creditors.
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