The route was subsequently expanded to Nara in the west, merging with Naniwa Railway, which used to run trains between Katamachi Station and Shijo-Nawate Station, and the Joga Railway (which was not yet in operation), which had a railway license from Shijo-Nawate to Kizu; the Kansai Railway Company opened the new route of Meihan via the current Katamachi Line and established a terminal in Katamachi, Osaka in 1898.
その後、路線を西へ奈良に延長、片町駅-四条畷駅を開業していた浪速鉄道および四条畷から木津方面の路線免許を持つ（未開業の）城河鉄道を合併して現在の片町線経由で名阪間を開通、1898年（明治31年）に大阪片町にターミナルを入手した。