Canadian Pacific Kansas City Limited Stock Price, News & Analysis

Canadian Pacific Railway Limited (TSX: CP) reported Q3 revenues of $1.94 billion, marking a 4% increase from last year. However, diluted earnings per share (EPS) fell 20% to $0.70, while adjusted EPS rose 7% to $0.88. The operating ratio (OR) increased by 200 basis points to 60.2% due to KCS acquisition costs. CP anticipates low single-digit volume growth in 2021 and remains confident in delivering full-year double-digit adjusted EPS growth despite supply chain challenges and a tough Canadian grain crop.

The Board of Directors of Canadian Pacific Railway Limited (TSX: CP) has declared a quarterly dividend of $0.19 per share on outstanding Common Shares. This dividend is payable on January 31, 2022 to shareholders of record as of December 31, 2021. It qualifies as an 'eligible' dividend under the Canadian Income Tax Act and similar provincial laws. Canadian Pacific is a major transcontinental railway in Canada and the U.S., providing freight transportation services and logistics solutions.

Canadian Pacific (TSX: CP, NYSE: CP) has announced its annual Safe Shipper Award, recognizing 51 companies for their exemplary safety in transporting hazardous materials in 2020. These companies managed to transport at least 500 carloads of hazardous materials without any non-accidental release incidents. Coby Bullard, Vice-President of Marketing and Sales, emphasized the importance of safety in their operations and the critical role customers play. The initiative aims to encourage safe practices, benefiting both employees and communities.

Canadian Pacific (TSX: CP) will announce its third-quarter 2021 financial results on Oct. 20, 2021, at 7:30 a.m. ET. A conference call for results discussion will follow at 8 a.m. ET.

Participants can join by calling 1-416-764-8688 or 1-888-390-0546 toll-free. Access the webcast on CP's investor website.

A replay will be available until Oct. 27, 2021, at 416-764-8677 or 1-888-390-0541 with password 549569.

Canadian Pacific Railway and Kansas City Southern have entered a merger agreement valued at approximately $31 billion, including $3.8 billion of KCS debt. The deal offers KCS shareholders a premium of 34%, valuing shares at $300. The merged entity is set to enhance competition and provide new transportation options across North America, with expected annualized synergies of $1 billion within three years. The transaction is supported by both boards and over 1,000 stakeholders, with an anticipated closure by Q1 2022.

Canadian Pacific Railway has entered into a $31 billion merger agreement to acquire Kansas City Southern, including the assumption of $3.8 billion in debt. The deal is supported by both companies' boards and offers KCS shareholders a 34% premium at $300 per share. With plans for $1 billion in annualized synergies within three years, the merged entity aims to enhance rail service options across North America. The transaction will create the first single-line rail network linking the U.S., Mexico, and Canada, significantly expanding market reach and operational efficiencies.

Kansas City Southern (NYSE: KSU) announced its Board's determination that the acquisition proposal from Canadian Pacific Railway (TSX: CP, NYSE: CP) as of September 12, 2021, is a "Company Superior Proposal". Consequently, KCS terminated its existing merger agreement with Canadian National Railway (TSX: CNI, NYSE: CNI). The new CP merger terms include $90 in cash and 2.884 CP shares for each KCS common stockholder, and $37.50 in cash for preferred stockholders. KCS will pay a $700 million breakup fee to CN, which will be reimbursed by CP upon closing, subject to shareholder and regulatory approvals.

Canadian Pacific Railway Limited (TSX: CP) announced a significant milestone in pursuing a merger with Kansas City Southern (KCS), deemed a 'Company Superior Proposal' by KCS's Board. The merger values KCS at $300 per share, a 34% premium, and includes the assumption of $3.8 billion in KCS debt. The merger aims to enhance competition within North American railways by creating single-line routes, particularly benefiting markets in the Midwest and the Gulf Coast. CP remains committed to making this merger a successful reality.

Canadian Pacific Railway Limited (TSX: CP) (NYSE: CP) is poised to re-engage with the Kansas City Board of Directors after its offer was deemed likely to lead to a "Company Superior Proposal." CP's offer, valuing Kansas City Southern (KCS) at $300 per share, represents a 34% premium. The Surface Transportation Board has also approved CP's use of a voting trust, enhancing regulatory certainty. CP-KCS aims to create a competitive freight rail network, improving service and market access while preserving the existing structure of North America's rail industry.