By Josh Beckerman

 

Kansas City Southern said it received a sweetened acquisition proposal from Canadian National Railway Co. that it has deemed "superior" to its merger agreement with Canadian Pacific Railway Ltd.

The revised proposal calls for stockholders to receive $200 cash and 1.129 CN shares per KCS share.

KCS has notified CP that it intends to terminate the CP deal, "subject to CP's right to negotiate amendments to the merger agreement for at least five business days and the KCS board's further determination as to whether any such amendments would cause the CN proposal no longer to constitute a 'Company Superior Proposal.'"

KCS has a market capitalization of about $27.8 billion.

 

Write to Josh Beckerman at josh.beckerman@wsj.com

 

(END) Dow Jones Newswires

May 13, 2021 19:05 ET (23:05 GMT)

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