CALGARY—Canadian Pacific Railway has revised its offer to acquire Norfolk Southern, but the Virginia-based railway has already rejected it.
CP Rail said in a letter to Norfolk Southern’s CEO that its amended bid is valued at $91.62 per share based on its Dec. 7 closing price.
That includes $32.86 in cash and a fixed exchange ratio of 0.451 shares in the combined company.
The previous offer put forth last month was valued at $92.06 per share and included $46.72 in cash and 0.348 shares in the new railroad.
Calgary-based CP Rail said the revised bid would ease any regulatory concerns over the proposed merger.
But Norfolk Southern said in a statement that the new bid is valued at less than the previous one, which it already concluded was “grossly inadequate.”