S&C Advises Canadian Pacific in $29 Billion Railroad Merger

March 22, 2021

Canadian Pacific Railway Limited has agreed to acquire Kansas City Southern for $29 billion in cash and stock. The combined company will create the first rail network connecting the United States, Mexico and Canada.
Canadian Pacific is a transcontinental railway in Canada and the United States with direct links to major ports on the west and east coasts. Kansas City Southern is a transportation holding company that has railroad investments in the United States, Mexico and Panama. The combined company will have an enterprise value of $86 billion, operate approximately 20,000 miles of rail and employ more than 20,000 people. The combined entity will be named Canadian Pacific Kansas City.
The S&C team advising Canadian Pacific includes Frank Aquila, Andrew Gerlach, Julia Kim, Natalie Lum-Tai, Renata Mascarenhas, Donna Kim and Louell Taye. Ari Blaut, Alan Fishman and Elizabeth Miller advised on finance matters. Marc Treviño, Regina L. Readling and Rebekah A. Kostelak advised on executive compensation matters. Davis Wang, Tessa Lee, John Jo and Zachary Feldman advised on tax-related matters. Mehdi Ansari and Daniel Stern advised on intellectual property matters. Matthew Brennan advised on environmental matters. Chris Mann, Eric Kadel and Manon Scales advised on trade regulatory matters. Renata Hesse and Sophia Vandergrift advised on antitrust matters.