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Virgin Trains USA stops plans for IPO

Posted at 3:19 PM, Feb 14, 2019
and last updated 2019-02-14 15:19:33-05

ORLANDO, Fla. (AP) — The company that is building a passenger rail service from South Florida to Orlando is stopping its plan to go public.

Virgin Trains USA said this week it wouldn't go through with an initial public offering.

Senior Vice President Ben Porritt says in a statement that alternative financing sources have become available that will allow the company to stay private and keep its growth strategies.

The company formerly known as Brightline launched service between Miami, Fort Lauderdale and West Palm Beach last May. It plans to expand into Orlando and Tampa.

The company also plans to construct a rail system connecting Las Vegas and Southern California.

Brightline partnered last year with Richard Branson's Virgin Group. Brightline took the Virgin name, and Virgin took a minority interest in the company.