Canadian Pacific Railway Ltd has announced that it has terminated efforts to merge with Norfolk Southern Corp. (NS). This includes the withdrawal of a resolution asking NS shareholders to vote in favour of good-faith negotiations between the two companies. No further financial offers or overtures to meet with the NS board of directors are planned presently.
CP proposed an end-to-end railroad that would enhance competition for both companies.
"We have long recognised that consolidation is necessary for the North American rail industry to meet the demands of a growing economy, but with no clear path to a friendly merger at this time, we will turn all of our focus and energy to serving our customers and creating long term value for CP shareholders," said CP CEO E. Hunter Harrison.
Edited from press release by Angharad Lock
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