STB: Previous voting trust approval applies to latest CP-KCS merger plan

The Surface Transportation Board (STB) yesterday announced its previous approval granted to Canadian Pacific and Kansas City Southern to use a voting trust applies to the voting trust described in their amended merger notice.

The STB noted that while “it is not a foregone conclusion that the [prior] approval remains effective where a merger agreement is terminated but later revived,” the voting trust scenario described in the applicants’ amended notice is substantively identical to what the board approved May 6, STB officials said in a press release.

"The board found that the modified financial terms of CP's offer would not impact the operation of the voting trust," the release stated.

However, the board "retains continuing jurisdiction to order modifications and correct future problems that may come to its attention," according to the decision.

To view the STB’s decision, click here.