Mexican regulators approve $31 billion railroad merger deal

KANSAS CITY, Mo. (AP) — Mexican regulators have approved Canadian Pacific’s $31 billion plan to acquire Kansas City Southern and create a railroad linking Mexico, Canada and the United States. The deal could close as soon as mid-December if shareholders of both companies approve it. Then Kansas City Southern would be held by a voting trust while the U.S. Surface Transportation Board conducts its lengthy review of the transaction but its shareholders would be paid right away. The railroads said Friday that the STB’s review of the deal is expected to continue into the fourth quarter of next year.