Tulsa World

On the wrong track? Company



Canadian National Railway faces additional pressure from a major investor who wants it to abandon its effort to buy the U.S. railroad Kansas City Southern.

London-based investment firm TCI Fund — which owns about 5% of CN’s stock — on Monday called for a shareholde­r meeting to nominate four new directors. TCI has said it thinks CN should overhaul its board, get a new CEO and refocus its efforts on improving its own operations.

Canadian National did not immediatel­y respond to the demand, but on Sunday said it would evaluate all of its strategic options after Kansas City Southern picked Canadian Pacific’s $31 billion offer over CN’s higher bid.

Canadian National had bid $33.6 billion to acquire Kansas City Southern but regulators rejected a key part of its plan. Under the terms of its merger agreement with KCS, CN still has five business days to possibly sweeten its offer.

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