A company was formed in 1863 to build a railway along the Thornton valley, to connect Halifax with Keighley. At the time this was considered to be a very ambitious project, and during its time in Parliament, the scheme was much reduced in scope, to connect Halifax and Holmfield through the Ovenden Valley. It was to be titled the Halifax and Ovenden Junction Railway, and it was incorporated on 30 June 1864, with capital of £90,000. The GNR and L&YR each subscribed £30,000 towards the capital, and were to work the line jointly.