Hedgefund Titan Bill Ackman acquired a stake in Canadian Pacific Railway as the railroad seeks regulatory approval for its proposed $27 billion merger with Kansas City Southern.
Mr. Ackman’s hedge fund Pershing Square Capital Management disclosed in a regulatory filing that it owned roughly 2.8 million shares of Canadian Pacific as of December 31st.
The fund had exposure to many times that—about 14.8 million shares as of today, according to a people familiar with the matter. That sum would make Mr. Ackman one of the railway’s top 15 holders with a stake worth well over $1 billion based on the current share price.
It is the second time in the past decade that Mr. Ackman has invested in the company, which runs a rail network across Canada and parts of the U.S. In 2012, he successfully waged a proxy war to shake up the board and install a new CEO. He exited his position in 2016.
Source: Wall Street Journal