The majority of shippers participating in Cowen and Company’s survey on the proposed Canadian Pacific (CP)/Kansas City Southern (KCS) merger have a positive view of the transaction, and merger synergies “look promising,” according to the firm, which released results March 29. These shippers (44%) were joined by respondents who said they have “no opinion” of the merger (38%); only 18% said they had a negative view. “This is encouraging,” said Cowen and Company Managing Director and Railway Age Wall Street Contributing Editor Jason Seidl. While it’s still early in the process, 50% of those with a negative option said they do not plan to take action with the Surface Transportation Board (STB), while 3% do and 47% have not yet decided, according to the Cowen Rail Shipper Survey. Cowen and Company Managing Director and Railway Age Wall Street Contributing Editor Jason Seidl “We do acknowledge and expect more organizations (as we saw with the NITL) to come forward and express comments toward the pending merger prior to the initial 10-day period regarding the exemption ending April 1,” Seidel reported.
Cowen: CP-KCS Merger Synergies ‘Promising’, March 29, 2021, www.railwayage.com