CP will also change its name to Canadian Pacific Kansas City. (Photo: The Canadian Press)
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Shareholders of US rail carrier Kansas City Southern voted on Friday for its acquisition by Canadian Pacific Railway.
Shareholders gave the green light during a special meeting that lasted less than 10 minutes, paving the way for the creation of the only rail network linking Canada, the United States and Mexico.
The approval follows that of Mexican regulators last month and that of CP shareholders on Wednesday.
Canadian Pacific agreed in September to acquire KCS in a deal valued at US $ 31 billion, including the assumption of US $ 3.8 billion in debt, following a fierce battle with the Canadian National Railway Company (CN), which was also looking to get its hands on the US rail operator.
The US regulator, the Surface Transportation Board (STB), has approved the use of a voting trust for the transaction. This move will allow KCS shareholders to receive payment after securityholders in both companies approve the deal, but before the STB gives final approval to the transaction.
CP has said it expects the deal, which will also change its name to Canadian Pacific Kansas City, to be reached on December 14.
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