STB establishes schedule for regulatory review of CP-KCS merger
BNN Bloomberg
Canadian Pacific Railway Ltd. says its proposed acquisition of Kansas City Southern could be approved in about a year, after the U.S. regulator established a schedule for its regulatory review.
CALGARY -- Canadian Pacific Railway Ltd. says its proposed acquisition of Kansas City Southern could be approved in about a year, after the U.S. regulator established a schedule for its regulatory review.
The Surface Transportation Board says anyone wanting to participate in the proceeding as a party of record must file a notice of intent by Dec. 13 regarding the US$31-billion transaction, including the assumption of US$3.8 billion of debt.
Various submissions are required before final briefs on the merger are due to be submitted on July 1.
The STB set the schedule after it accepted the merger application as being complete. It previously approved the use of a voting trust for the transaction that allows KCS shareholders to receive payment after shareholders of both company approve the deal and before it receives final approval.
CP Rail shareholders will vote Dec. 8 on the issuance of shares in connection with the proposed acquisition.
The Calgary-based railway anticipates the full review of the merger will be completed in the fourth quarter of 2022.
