CALGARY — Former cabinet minister Jim Prentice has joined Canadian Pacific Railway’s board of directors.
The Calgary-based railway says the appointment is effective as of Friday.
During his time in government, Prentice was in charge of the Environment, Industry and Indian Affairs and Northern Development portfolios.
He’s currently senior executive vice-president and vice chairman at the Canadian Imperial Bank of Commerce and serves on the boards of Bell Canada and Coril Holdings Ltd.
By David Hunkar: Canadian National Railway (CNI) and Canadian Pacific Railway (CP) are the major railroads in Canada. Activist investor Bill Ackman of hedge fund Pershing Square Capital Management has initiated a corporate battle to take control of the Canadian Pacific railroad and implement management changes.
Canada’s rules on poison-pills and the relative ease with which investors can call for shareholder meetings make the country a friendlier place for shareholder activists than the U.S., said Bill Ackman, the billionaire hedge-fund manager.
“It’s a better regime in almost every measure,” he said during an Ontario Securities Commission event in Toronto. Canadian regulators often remove poison pills — shareholder rights plans that can be used to fend off an unsolicited bid — after a short period.
Canadian Pacific Railway Ltd., the second-biggest railroad in Canada, is exploring a takeover of U.S. carrier Norfolk Southern Corp. in a fresh attempt to consolidate the North American industry, according to people familiar with the matter.
CALGARY — Pershing Square Capital Management has announced a public offering of more than 5.9 million shares of Canadian Pacific Railway Ltd. that would have a value of more than $880-million at market prices.
The deal makes good on a pledge by activist investor Bill Ackman back in June to divest seven million CP shares within a year, taking advantage of a big run-up in the railway’s stock.
Ackman led a bruising proxy fight against the railway’s previous management aimed at wringing greater value out of CP stock.
By Sammy Pollack:Since Bill Ackman started buying shares in September 2011, shares of Canadian Pacific Railway (CP) have outperformed other large railroad companies by a wide margin. There are three reasons why CP is not my favorite railroad stock.
By Takeover Analyst:In previous articles, I have expressed my bullish outlook on the rail industry. In this one, I argued, frankly, that "railroad stocks are heading skyward". Satiating my interest in railroads with my background in proxy fights, it is interesting to watch the battle going on at Canadian Pacific (CP).
By Streetwise Blog:
By Tim Kildaze
Here’s a brainteaser for you: Because Canadian Pacific Railway Ltd. (CP) has underperformed its rivals for so long, did shareholders really need an activist to show them the light?