Surface Transportation Board Accepts CP-KCS Merger Application For Consideration

(RTTNews) - Canadian Pacific Railway Limited (CP, CP.TO) and Kansas City Southern (KSU) or KCS said Tuesday that the Surface Transportation Board or "STB" has accepted the joint CP-KCS merger application as complete.

THe STB also set a procedural schedule for the regulatory review that calls for final briefs on July 1, 2022.

The companies anticipate that the STB review of CP's proposed control of KCS will be completed in the fourth quarter of 2022.

In September, Canadian Pacific Railway agreed to acquire Kansas City Southern in a stock and cash transaction representing an enterprise value of about US$31 billion, which included the assumption of $3.8 billion of outstanding KCS debt.

Kansas City Southern had terminated merger agreement with Canadian National Railway Company (CNR.TO, CNI) and entered into a merger agreement with CP.