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Rocky Mountaineer Raises Capital for Expansion into the United States

Transaction Details

Fort Capital teams with PricewaterhouseCoopers Corporate Finance to support Armstrong Hospitality Group in Common Share Offering

Fort Capital Partners is pleased to announce that Armstrong Hospitality Group Ltd. (“AHG”) has recently issued approximately $30 million common shares in a private placement offering. AHG, parent of a number of entities that collectively dba as “Rocky Mountaineer”, will apply a majority of the proceeds from the offering to develop and launch a new, world-class luxury train journey in the Southwest United States.

Rocky Mountaineer (“RM”) operates multi-day, daytime train journeys that feature incredible scenery, regional cuisine, and attentive service in its spacious, glass-domed train coaches. RM offers three rail routes in Western Canada, between Vancouver and the Canadian Rockies towns of Banff, Lake Louise, and Jasper.

The new Rockies to the Red Rocks route, a two-day rail journey between Denver, CO and Moab, UT, with an overnight stay in Glenwood Springs, CO, will launch later this year with a preview season of 40 departures across 10 weeks from August 15 to October 23. RM is working with local tourism organizations, hotels and tour operators to curate custom vacation packages that feature tours, activities, and stays in Denver and Moab, so guests can experience even more of the region.

“Rocky Mountaineer will bring a new luxury train tour to explore the historic rail route between Denver and Moab. Over the past 30 years, Rocky Mountaineer has become renowned for our world-class train travel experiences, and now we are opening our newest train experience in the region where train travel history began,” said Peter Armstrong, founder of Rocky Mountaineer. “This region, with its magnificent scenery, national parks, and vast opportunities to explore, will delight millions.”

Rockies to the Red Rocks, the first new luxury train experience launched in many years, will be highly synergistic with RM’s existing assets, marketing opportunities and reputation.

Widely recognized as the world’s premier luxury train operator, Rocky Mountaineer is the recipient of nine World Travel Awards, including the title of World’s Leading Luxury Train in 2020. The company also received four other leading travel industry awards in the past year and was named Lonely Planet’s Most Sustainable Train Journey as part of its Best in Travel 2021 awards. Over the past 30 years, more than 2.2 million guests have been delighted by combination of natural beauty and world-class attention that Rocky Mountaineer’s journeys deliver.

PricewaterhouseCoopers Corporate Finance Inc. and Fort Capital Partners acted as financial advisors to AHG on this offering.