CP shareholders back $31B purchase of Kansas City Southern

Canadian Pacific’s $31 billion plan to acquire Kansas City Southern cleared one of its final hurdles Wednesday when CP shareholders overwhelmingly approved the deal that would create the first railroad connecting the United States, Canada and Mexico.

The ownership of the Missouri-based railroad is expected to change next Tuesday as long as Kansas City Southern shareholders endorse the deal later this week.

But Kansas City Southern won’t see any major changes immediately because it will be held by a voting trust for the next year while the U.S. Surface Transportation Board scrutinizes the deal.

The review by federal regulators is expected to continue into the fourth quarter of 2022.