Deals
CP Drops Possible Proxy Fight as It Pursues Norfolk Southern
- Ackman-backed carrier to seek investor resolution for takeover
- Change in tack is almost a 'proxy-light' move, analyst says
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Canadian Pacific Railway Ltd. will ask Norfolk Southern Corp. shareholders to pressure the U.S. railroad into starting merger talks, dropping plans for a proxy fight.
Canada’s second-largest railroad said it plans to submit a resolution to Norfolk Southern investors requesting that the board “engage in good faith discussions.” Norfolk Southern has rejected several approaches, including one in December that valued the U.S. company at $27 billion. The Calgary-based carrier won’t present an alternative slate of directors at Norfolk Southern’s 2016 annual meeting.