A railroad merger nearly derailed this year by a bidding war is moving forward ahead of a final say from regulators on Canadian Pacific's $31 billion acquisition of Kansas City Southern railroad.
Canadian Pacific set up a voting trust that purchased Kansas City Southern Tuesday after shareholders of both railroads overwhelmingly approved the deal last week.
Canadian Pacific's $31 billion plan to acquire Kansas City Southern cleared one of its final hurdles Wednesday when CP shareholders overwhelmingly approved the deal that would create the first railroad connecting the United States, Canada and Mexico.
KANSAS CITY, Mo. (AP) — Canadian Pacific hopes to complete its $31 billion acquisition of Kansas City Southern railroad before the end of next year.
Shareholders of both companies are likely to vote on the deal sometime in December, and then Mexican and American regulators will have to sign off on the combination before the two railroads can merge.
OMAHA, Neb. (AP) — After initially getting derailed this spring, Canadian Pacific's $31 billion acquisition of Kansas City Southern is back on track after Canadian National dropped out of the bidding war Wednesday.
OMAHA, Neb. (AP) — A planned shareholder vote on Canadian National's $33.6 billion offer has been delayed after regulators rejected a key part of the plan, so now Kansas City Southern railroad can consider all of its options, including a competing $31 billion offer from Canadian Pacific Railway.
OMAHA, Neb. (AP) — Canadian Pacific is urging Kansas City Southern to reject Canadian National's rival $33.6 billion takeover bid, but it still refuses to increase its own $25 billion bid.
Canadian Pacific maintained Thursday that Canadian National's bid won't be approved by regulators because it would hurt competition and add to rail congestion around Chicago, so CEO Keith Creel doesn't see a need to increase its offer.