PITTSBURG, Kan., June 17, 2025 /PRNewswire/ — Duration Capital Partners (“Duration”) has made a minority equity investment of more than $600 million in Watco Companies, LLC, (“Watco”) a leading transportation service and logistics company.
Dan Smith, Chief Executive Officer of Watco, said, “This investment from Duration is not just capital—it’s a long-term vote of confidence in our people, our strategy, and our future. We’re grateful for their trust and energized by the opportunity to continue to grow with our customers.”
Proceeds from the investment will be used to support Watco’s long-term strategic objectives. This includes Watco assuming full ownership of Industrial Rail Services, which operates the rail assets at six Dow Chemical facilities in the U.S. and Canada. The result will be Watco having 100% ownership of these assets.
“The team at Duration shares our commitment to long-term thinking and operational excellence. Together, we’ve navigated several important initiatives over the years, and this expanded partnership positions us for continued success,” added Rick Baden, Executive Vice President and CFO of Watco.
Watco and Duration have partnered on multiple transactions since 2018, building a long-term relationship based on aligned values and a shared commitment to investing in essential transportation infrastructure.
“This investment is a testament to the strength of our partnership with Watco,” said Josh Connor, Co-CEO of Duration. “Watco exemplifies the type of company we want to support for many years to come—focused on safety, customer service, and operational excellence. It is a privilege to continue growing together.”
“We believe in building durable, values-driven businesses alongside exceptional management teams,” added Emmett McCann, Co-CEO of Duration. “Our relationship has grown into a deep collaboration, and we have helped many customers expand their businesses. Watco is a world-class operator, and we are proud to be their long-term partner.”
About Watco
Watco is a transportation service company that owns and operates a diverse network of short line railroads, terminals, ports, and mechanical shops across North America and Australia. With nearly 5,000 team members, Watco has been growing with customers since 1983. For more information, visit watco.com (https://www.watco.com/).
About Duration Capital Partners
Duration Capital Partners is a private investment firm focused on long-term investments in North American transportation infrastructure. Founded in 2024 via a spin-out from Oaktree Capital, Duration manages over $4 billion and focuses on essential assets across rail, ports, and aviation. For more information, visit durationcapitalpartners.com (https://www.durationcapitalpartners.com/).
SOURCE Watco Companies, LLC
