KANSAS CITY, Mo. — Two Canadian railroad companies are now involved in a bidding war to acquire Kansas City Southern and its key route to Mexico and the Panama Canal.
In March, Canadian Pacific announced it would acquire KC Southern in a stock and cash transaction valued at approximately $29 billion.
The combined networks' new single-line would include approximately 20,000 miles of rail, employ close to 20,000 people and generate total revenues of approximately $8.7 billion.
A merger would result in a lengthy North American transit route from Canada down to Mexico.
However, it appears that despite the announced agreement, another Canadian company has decided to stake a claim.
Canadian National Railway Co. made a topping bid of $30 billion to acquire KC Southern.
CN has even built out a portion of their website outlining the bid that reads, "Better Bid. Better Partner. Better Railway. Best Solution."
The competitor claims it is the safer, faster and cleaner bid.
The proposal does not give specific numbers on how many jobs would be created or what revenue would be made.
Any merger would need approval from the Surface Transportation Board.