Canadian Pacific Railway train through Banff National Park, Canada. - stock photo. Credit: Natapong Supalertsophon / Getty Images
Canadian Pacific Railway Ltd. has agreed to buy Kansas City Southern for $25 billion in cash and stock, creating the first rail network linking the United States, Mexico, and Canada.
The deal values Kansas City Southern at $275 a share, based on Friday’s stock prices. Kansas City Southern shares closed Friday at $224 on the New York Stock Exchange.
The acquisition would need the approval of a U.S. regulator, the Surface Transportation Board. The companies said they expect the process to take until mid-2022.
The combined company would operate about 20,000 miles of railway, employ 20,000 people and generate annual revenue of about $8.7 billion. In a joint statement, the railroads said their merger is “expected to create jobs across the combined network.’’
They also said the deal would allow their customers seamless transportation throughout much of the U.S., Canada and Mexico.
The three countries last year entered into a revamped regional trade pact, negotiated by President Donald Trump, that is expected to encourage trade and investment across North America. Canadian Pacific CEO Keith Creel said that the so-called U.S.-Mexico-Canada Agreement “makes the efficient integration of the continent’s supply chains more important than ever before.’’
Houseplant Founders Seth Rogen and Mikey Mohr joined anchor Dave Briggs to discuss the changing culture around Cannabis and their smoke-ware brand Houseplant.
Julie Bowen joins anchor Dave Briggs to discuss the What's App ad with a few Modern Family reunions, her most recent spooky role, Xiidra, and Happy Gilmore 2.
Welcome to the new age, where Big Tech runs AI on tiny nuclear plants! Plus, banks make bank, the best kind of cancel culture and the wealth gap explained.
CEO of Century 21 Real Estate, Mike Miedler, joins Cheddar to discuss the future of real estate in states that were affected by Hurricanes Helene & Milton.
