Merger or acquisition of railways? Economic Transactions involving the Rio Claro Railway Company (1888-1892)

ABSTRACT

The subject of this paper is the economic transactions involving the Rio Claro Railway Company between 1888 and 1892. Its aim is to analyze the reasons that led British investors to acquire the company and, soon after, sell it to Paulista Rail and Waterway Company. This paper proposes to determine whether the profitability of the railway depended on the willingness and ability of its owners to expand its lines regularly. It will investigate whether the British group that acquired the railway had an interest in continuing its investment to expand the main line and the branches that comprised the entire Rio Claro Company system during the period of study.

Keywords:
railway; merger; acquisition; British capital; São Paulo