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UPDATE 1-Kansas City Southern to adjourn special shareholder meet over Canadian National deal

reuters.com · 09/01/2021 08:28
UPDATE 1-Kansas City Southern to adjourn special shareholder meet over Canadian National deal

Adds details, quote from statements, background

- Kansas City Southern KSU will adjourn a special stockholder meeting scheduled on Friday for voting on its proposed deal with Canadian National Railway Co CNI, the U.S. railroad operator said on Wednesday.

The move comes a day after the U.S. Surface Transportation Board (STB) rejected a voting trust structure that would have allowed Canadian National to proceed with its $29 billion proposed acquisition of Kansas City. nL4N2Q23VE

The company did not specify when the special stockholder meeting would now be held, but said that Canadian Pacific Railway Ltd CP had reaffirmed its buyout offer in light of the STB ruling.

"We are disappointed in the STB's decision to reject Canadian National's proposed voting trust. We are working with Canadian National to evaluate the options available to us," Kansas City said.


(Reporting by Abhijith Ganapavaram in Bengaluru; Editing by Ramakrishnan M.)

((Abhijith.G@thomsonreuters.com;))