Canadian Pacific to Buy Kansas City Southern

[Scottl]

CP's stock price is going to go down 80% over the next few days 

[davefoxx]

CP's stock price is going to go down 80% over the next few days 

That might be a good time to buy!  Buy low!

DFF

[Scottl]

(5:1 stock split) 

[Missaberoad]

And if CP doesn't make a new offer they get paid $700 million just for KCS backing out of the deal. 

From everything the company has been saying internally and externally seems they are banking on the fact CN won't be able to get regulatory approval...

[Ed Kapuscinski]

And if CP doesn't make a new offer they get paid $700 million just for KCS backing out of the deal. 

From everything the company has been saying internally and externally seems they are banking on the fact CN won't be able to get regulatory approval...

It'd make sense that it's a harder sell. I mean, CN already has the remains of the IC.



vs

[Missaberoad]

It'd make sense that it's a harder sell. I mean, CN already has the remains of the IC.

Exactly... Theres alot of duplication there. Be interesting to see what happens tho. Merger drama is always fun.

Oh and you could argue that IC got the remains of CN 

[Philip H]

Exactly... Theres alot of duplication there. Be interesting to see what happens tho. Merger drama is always fun.

Oh and you could argue that IC got the remains of CN 

Except they killed off the Death Star scheme pronto

[Lenny53]

https://www.trains.com/trn/news-reviews/news-wire/department-of-justice-sees-potential-competitive-risk-in-cn-kcs-deal/

[Lenny53]

http://railfan.com/major-investor-tells-cn-to-drop-bid-for-kcs/

[Ed Kapuscinski]

http://railfan.com/major-investor-tells-cn-to-drop-bid-for-kcs/

Good. CP + KCS simply makes more sense than CN does.

[Philip H]

It does, and I like it because it keeps Baton Rouge a two railroad town. 

That said it was bad enough when the Death Stars gave way to the CN - though the lingering GTW and BC Rail locos that came initially were amusing.

[Sokramiketes]

http://railfan.com/major-investor-tells-cn-to-drop-bid-for-kcs/

"Major CN investor who also owns CP stock tells..."

[Scottl]

https://www.bnnbloomberg.ca/caisse-throws-its-support-behind-cn-in-kcs-takeover-battle-1.1605669

This endorsement is more important to CN than concerns raised by a hedge fund manager.  CN is Montreal-based and the Caisse is a massive Quebec pension fund.

[Lenny53]

Good. CP + KCS simply makes more sense than CN does.

Unfortunately logic does not always win out.     

[Philip H]

Unfortunately logic does not always win out.     

Too true, especially since maximizing shareholder value has contaminated modern North American railroading just like most other business sectors.