CP Rail ‘ready to roll’ on proposed Kansas City Southern merger ahead of U.S. regulator’s ruling

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The U.S. regulator’s decision is the final hurdle CP Rail must clear in its bid to purchase Kansas City Southern for US$31-billion

With the final decision by a U.S. regulator just weeks away, Canadian Pacific Railway Ltd.’s CEO says the company is “ready to roll” on its proposed merger with U.S. railroad Kansas City Southern.

If the STB gives the go-ahead, the merged railway will be named Canadian Pacific Kansas City . Creel will be CEO, and Calgary will serve as global headquarters for the new entity. Kansas City, Mo., will be the U.S. headquarters, and the Mexican headquarters will be in Mexico City and Monterrey. It’s been a long and bumpy route to get to this point. Both CP and its competitor, Montreal-based Canadian National Railway Co., were interested in acquiring KCS, and fought a testy battle behind the scenes for months before CP and the U.S. railway announced a friendly offer in March of 2021.

CP Rail has said the merger will build a more efficient and competitive rail network, and provide customers with a more reliable and economical transportation option serving critical north-south trade flows.

 

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