Norfolk Southern Corporation (NYSE: NSC) has announced that its shareholders have overwhelmingly approved the company's transaction with Union Pacific at the Special Meeting of Shareholders. The approval was nearly unanimous, with approximately 99% of the shares cast in favor of the transaction.
Under the terms of the agreement, Norfolk Southern shareholders will receive 1.0 Union Pacific common share and $88.82 in cash for each share of Norfolk Southern owned. The transaction is expected to close by early 2027, subject to Surface Transportation Board review and approval within its statutory timeline and customary closing conditions.
Norfolk Southern's President and CEO, Mark George, emphasized that the merger aims to create America's first coast-to-coast transcontinental railroad. He stated that the combination of the two companies' networks and capabilities will unlock a multiplier effect for benefits to all stakeholders, preserving union jobs, improving safety, and delivering faster, more reliable transit times.
In terms of operational figures, Norfolk Southern operates a 22-state freight transportation network and helps its customers avoid approximately 15 million tons of yearly carbon emissions by shipping via rail. The company's team members deliver approximately 7 million carloads annually, covering a wide range of goods from agriculture to consumer products.
The transaction with Union Pacific is expected to make rail more competitive with highways, offering customers new and more attractive shipping alternatives, thus unleashing the industrial strength of American manufacturing and creating new sources of economic growth across the country.
Following these announcements, the company's shares moved 0.16%, and are now trading at a price of $283.98. If you want to know more, read the company's complete 8-K report here.
