Ackman Signals Support For Canadian Pacific Merger

While he wouldn’t directly address reports that Canadian Pacific Railway Limited (TSE:CP) (NYSE:CP) approached CSX Corporation (NYSE:CSX) about possible merger this past week, Pershing Square Capital Management founder Bill Ackman hinted that he is in favor of some kind of merger to improve the operational efficiency of Canadian Pacific, which his firm has an 8% stake in.

“You take the management of CP, which has done an incredible job, and you combine it with another rail where they can get the benefit of combined management teams in addressing problems,” said Ackman, reports David George-Cosh at the Wall Street Journal. “The...