Kansas City Southern said on Sunday that it had deemed an offer from Canadian Pacific superior to a bid from Canadian National, in the latest turn in a monthslong battle to become the first railroad to connect North America. Canadian Pacific first put forward a roughly $29 billion bid for Kansas City Southern in March, before being topped by a $33.7 billion offer from its rival, Canadian National, in April. But the Canadian National deal hit a key regulatory challenge this month, sending Kansas City back to talks with Canadian Pacific. The crown jewel in the deal is Mexico, as the railroads look to capitalize on trade flows across North America on the heels of the United States-Mexico-Canada Agreement signed into law last year. It must be approved by shareholders of both companies, as well as approved by Mexican authorities and the Surface Transportation Board, the U.S. regulatory board that oversees rail deals.

Source: International New York Times September 12, 2021 19:25 UTC