Analyst Thinks CP Rail Should Acquire KC Southern

Walter Spracklin, an analyst with RBC Capital Markets, is quoted in an interesting piece from FinancialPost.com that the timing is perfect for a merger of the two railroad giants Canadian Pacific Railways Ltd, and Kansas City Southern Railway Co. As Spracklin puts it, "CP's franchise ends where KSU's begins and combining the two would transform CP from a Canadian and U.S. Midwestern railroad into a truly North American carrier."

It should be noted that CP has never publicly discussed any acquisitions, of Kansas City Southern, but it doesn't stop Spracklin from speculating, especially since CP is has begun a major restructuring with new CEO Hunter Harrison and with CP trading at an all-time high.

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