Canadian National offers more than $30 billion for Kansas City
Reuters
Published Apr 20, 2021 07:03AM ET
Updated Apr 20, 2021 07:30AM ET
(Reuters) -Canadian National Railway Co said it had offered $33.7 billion for railroad operator Kansas City Southern (NYSE:KSU), trumping last month's offer from rival Canadian Pacific (NYSE:CP) and sending the U.S. railroad operator's shares up 21%.
Canadian National's offer of $325 per shares represents a premium of 26.8% to Kansas City Southern's last close on Monday.
CN's offer includes $200 a share in cash and 1.059 Canadian National shares.
Last month, Canadian Pacific agreed to acquire Kansas City in a $25 billion cash-and-stock deal to create the first railway spanning the United States, Mexico and Canada, standing to benefit from a pick-up in trade.
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Written By: Reuters
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