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Available Expert - Tracking the creation of the first U.S-Mexico-Canada rail network

Monday, March 22, 2021

Queen’s expert Robert Yalden (Law) is available to talk about the proposed merger between Canadian Pacific and Kansas City Southern.

"The transaction structure tells us something really important about what it took to get this deal done: CP is taking on all the regulatory risk by buying the shares and then putting the company into a trust, where it will sit until regulators decide whether the deal can go ahead.  If they turn it down, CP will then have to find a way to unload its investment.  Kansas City Southern did not want to chin up to a deal and leave its shareholders in limbo for months as US regulators work through this, especially since the regulators have nixed every major North American railway deal in the last twenty years" says Yalden.

The deal is valued at US $25- billion, and will not result in job losses in Calgary. The cash-and-shares deal would create a 32,000-kilometre rail network, the first that would connect Canada, the United States and Mexico. It ranks as the largest merger and acquisition of 2021 to date.

CP’s rail network would expand to include Kansas City Southern’s connections through the American Midwest, to ports along the Gulf of Mexico and into Mexico.

To arrange an interview, please contact communications officer Julie Brown (343-363-2763 or Julie.brown@queensu.ca) at Queen’s University News and Media Services Department in Kingston, Ont., Canada.  

 Follow Queen’s News and Media Services on Twitter: http://twitter.com/QueensuMedia.  

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