FTAI Infrastructure Inc. (FIP) has entered into an agreement to sell its Long Ridge asset to MARA Holdings for $1.52 billion.

The transaction was announced during the company's first-quarter 2026 earnings call on May 7.

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The sale is subject to regulatory approvals, which are still pending.

CEO and President Kenneth Nicholson stated that the deal is expected to close in the third quarter of 2026.

Management anticipates no other significant conditions remaining for the closure. The existing debt tied to Long Ridge will be either settled or assumed by MARA Holdings.

FTAI Infrastructure expects to receive over $300 million in net proceeds from the sale.

The company plans to use these funds to reduce parent-level debt by at least $300 million.

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This debt reduction is projected to cut annual parent-level interest expenses by approximately $30 million. It will also strengthen the company's overall leverage profile.

Strategic Focus on Core Operations

The divestment serves two main goals for FTAI Infrastructure. First, it lowers the company's overall leverage.

Second, it sharpens focus on its core freight rail operations.

Management expects a highly active year for the railroad division. The division is currently reviewing multiple rail-related business opportunities.

The company also expressed full confidence in its Jefferson and Repauno terminal operations. Plans are in place to boost earnings at both sites before seeking future monetization paths.

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Financial Performance and Outage Impact

FTAI Infrastructure's financial performance improved in the first quarter of 2026.

Adjusted EBITDA climbed to $70.6 million, up from $35.2 million in the same period last year.

However, overall operations faced a temporary setback due to an extended facility disruption. A 25-day outage at Long Ridge negatively impacted both quarterly revenue and EBITDA figures.

Total consolidated EBITDA for the first quarter would have surpassed $80 million if the outage had not occurred.

The company remains focused on its business model of developing, acquiring, and operating diverse infrastructure assets.

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FTAI Infrastructure primarily serves clients in the transportation, energy, and industrial sectors. The Long Ridge sale marks a significant step in streamlining its portfolio.