Latest news with #UnionPacificCorp
Bloomberg
18 hours ago
- Business
- Bloomberg
Union Pacific Bid Values Norfolk Southern at About $320 a Share
Union Pacific Corp. is nearing an agreement for a stock-and-cash deal for Norfolk Southern Corp. that would value the smaller rival at about $320 a share, people familiar with the matter said, in what would be the rail industry's biggest-ever tie-up. The offer would be comprised of about two-thirds stock and one-third cash, said the people, who asked not to be identified because the information is private. At $320 a share, Norfolk Southern's equity value would be about $72 billion, according to Bloomberg calculations.
Miami Herald
3 days ago
- Business
- Miami Herald
Union Pacific is said to near deal for Norfolk Southern
Union Pacific Corp. could reach an agreement to acquire Norfolk Southern Corp. and create a transcontinental rail behemoth as soon as early next week, people familiar with the matter said. The deal, which would be the largest deal ever in the rail industry, is likely to include both cash and stock, according to the people, who asked not to be identified discussing confidential information. Union Pacific and Norfolk Southern announced on Thursday that they were in advanced talks. Details of an agreement, including the timing and structure, could still change, the people said. Norfolk Southern is set to report second quarter earnings on July 29. A representative for Union Pacific declined to comment, while a spokesperson for Norfolk Southern didn't immediately respond to requests for comment. A merger would transform the North American rail market, marrying Union Pacific's network across the western U.S. with Norfolk's East Coast routes. It would bring together two companies with a combined market value of roughly $200 billion, and heap pressure on rivals including CSX Corp. and Berkshire Hathaway Inc.'s BNSF to pursue deals of their own to keep pace. Omaha, Nebraska-based Union Pacific's shares have fallen 2.8% since July 16, the day before the first media reports about merger talks, giving it a market value of roughly $133 billion. Norfolk Southern has climbed about 8.5% during the same period, giving the Atlanta-based railroad a market capitalization of almost $64 billion. Historically rail mergers have been difficult to consummate given the inhospitable regulatory environment. But there had been speculation that the industry was headed for another round of consolidation, fueled by the assumption that President Donald Trump's administration could take a more amenable view to major deals than previous governments. "We've done a lot of homework to get us to this place," Union Pacific Chief Executive Officer Jim Vena told analysts after the talks were announced. One of the current Trump administration's earliest moves was to elevate Patrick Fuchs to chair the Surface Transportation Board. Fuchs is seen as a proponent of industry consolidation. Copyright (C) 2025, Tribune Content Agency, LLC. Portions copyrighted by the respective providers.
Bloomberg
5 days ago
- Business
- Bloomberg
Union Pacific in Talks to Combine With Norfolk Southern
Union Pacific Corp. is in advanced talks with Norfolk Southern Corp. about a potential tie-up of two US freight railroad leaders. The combination would transform the North American rail market and would also require regulatory approval. Lee Klaskow of Bloomberg Intelligence has more. (Source: Bloomberg)
Yahoo
24-04-2025
- Business
- Yahoo
First look: Union Pacific earnings
Union Pacific Corp. on Thursday said first quarter revenue and earnings were unchanged from a year ago as better volumes and pricing were offset by the mix of freight moving on its rails. The Omaha, Nebraska-based carrier (NYSE: UNP) said net income for the quarter ended March 31 was $1.6 billion, or $2.70 per diluted share, from net income of $1.6 billion, or $2.69 per diluted share, in the year-ago quarter. 'The team delivered a solid start to the year as we worked closely with our customers to meet their needs in an uncertain environment,' said Jim Vena, Union Pacific chief executive, in a release. Operating revenue of $6 billion was flat on 7% volume growth and solid core pricing gains offset by business mix, reduced fuel surcharge revenue and the impact from leap year in 2024. Freight revenue grew 1%, while freight revenue excluding fuel surcharge grew 4%. Core pricing dollars net of inflation were accretive to operating ratio of 60.7% — flat from a year ago. Operating expenses were flat as productivity improvements and lower fuel costs offset volume-related costs and inflation. The company affirmed its 2025 outlook of freight volume impacted by a mixed economic backdrop, coal demand and challenging year-over-year international intermodal comparisons. Earnings-per-share growth is expected to be consistent with the three-year compound annual growth rate of high single to low double digits. The company did not change planned capital spending of $3.4 billion, or share repurchases of $4 billion to $4.5 billion. The post First look: Union Pacific earnings appeared first on FreightWaves.
