Canadian National Railway Co T.CNR

Why the pop?

[GoldmemberBC]

why did the sp pop on what appears to be bad news for CNR? What am I missing here?

[Justhalffull]

CN purchase price for KCS was (is) about 5. To 6 years of operating.  Cn took a sp hit when the deal was first announced.  Typical for such large merger agreements.  Some feel if the deal is off, CN is better off in the near term than if the merger went through, so SP recovers.

[GoldmemberBC]

appreciate the response, thank you.