Canadian Pacific: Donald Trump Of Rails
Bill Ackman target Canadian Pacific is back at it again. Canadian Pacific made a fresh takeover approach to CSX in January. The approach was rebuffed and comes as Canadian Pacific is pressing an unwanted takeover bid for Norfolk Southern.
Now, Canadian Pacific is pulling a Donald Trump, thretening to sue certain railroads for trying to block its effort to merge with Norfolk. It costs CP nothing and may bull Norfolk into talking with them.
As Canadian Pacific notes:
It is unfortunate that CP must consider the use of litigation to ensure a level playing field and protect its rights, but the company has concluded that the actions of those competitors should not be allowed to block the creation of a railroad that offers unparalleled customer service and competitive rates that will support the success of the shippers, the industries it serves and the broader economy.
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