Goldman, BMO to Provide $8.6 Billion Bridge Loan on CP Rail Deal

Photographer: Whitney Curtis/Bloomberg

Bank of Montreal and Goldman Sachs Group have committed to an $8.6 billion bridge loan for Canadian Pacific Railway Ltd. to help finance the purchase of Kansas City Southern, according to a person familiar with the matter.

• The bridge loan is expected to be syndicated, said the person, who spoke on condition they not be identified
• CP’s proposed $275-per-share offer for Kansas City Southern includes $90 per share, or more than $8 billion, in cash
• Total deal value is about $29 billion including the assumption of debt, according to a statement

NOTE: CP Rail Agrees to Buy Kansas City Southern for $25 Billion

Published on

March 21, 2021, 8:11 PM EDT