Latest news with #buyout
Reuters
a day ago
- Business
- Reuters
Japan's M&A push faces internal obstacles: podcast
Follow on Apple or Spotify. Listen on the Reuters app. Tokyo wants companies to embrace dealmaking to boost the low-growth economy. In this Viewsroom podcast, Breakingviews columnists explain why the $33 bln buyout of Toyota Industries and failed $46 bln bid for Seven & i offer a poor verdict on the official value push. Follow Aimee Donnellan on LinkedIn. (The host is a Reuters Breakingviews columnist. The opinions expressed are her own.) Further Reading Couche-Tard should have gone hostile on Seven & i Toyota is Japan Inc's ultimate value contrarian Toyota buyout capitalises on insiders' control Visit the Thomson Reuters Privacy Statement for information on our privacy and data protection practices. You may also visit to opt-out of targeted advertising.
Yahoo
3 days ago
- Business
- Yahoo
Union Pacific to buy Norfolk in $85 billion mega US railroad deal
(Reuters) -Union Pacific (UNP) said on Tuesday it would buy smaller rival Norfolk Southern (NFS.F) in an $85 billion deal, to create the nation's first coast-to-coast freight rail operator and reshape the movement of goods from grains to autos across the country. If approved, the deal would combine Union Pacific's stronghold in the western two-thirds of the U.S. with Norfolk's 19,500 mile network that primarily spans 22 eastern states. This would mark the largest-ever buyout in the sector, merging Union Pacific, the biggest U.S. railroad operator, with Norfolk, one of the top players, granting the combined company transcontinental dominance. On Thursday, the two companies had said they were in advanced discussion for a possible merger. The transaction faces numerous regulatory hurdles and will serve as a key test of the changed thinking around antitrust issues under President Donald Trump. Since early 2025, the U.S. Surface Transportation Board, the federal regulatory agency overseeing railroads, has signaled a more industry-friendly approach to merger reviews. Chairman Patrick Fuchs, appointed to the post in January by Trump, has advocated for faster timelines for preliminary assessments, a greater focus on competitive balance rather than blocking consolidation, and a willingness to enforce conditions post-merger rather than deny deals preemptively. The talks have also prompted competitors BNSF, owned by Berkshire Hathaway, and CSX, to explore merger options, people familiar with the matter said. Union Pacific's deal for Norfolk would also need support from labor unions and could invite scrutiny from several other federal agencies. Major railroad unions have long opposed consolidation, arguing that such mergers threaten jobs and risk disrupting rail service. The North American rail industry has been grappling with volatile freight volumes, rising labor and fuel costs, and growing pressure from shippers over service reliability, factors that could further complicate the merger. The last major deal in the industry was the $31 billion merger of Canadian Pacific and Kansas City Southern, which created the first and only single line rail network connecting Canada, the U.S., and Mexico. That deal, finalized in 2023, faced heavy regulatory resistance over fears it would curb competition, cut jobs, and disrupt service, but it was ultimately approved. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Zawya
3 days ago
- Business
- Zawya
Union Pacific to buy Norfolk in $85bln mega US railroad deal
Union Pacific said on Tuesday it would buy smaller rival Norfolk Southern in an $85 billion deal, to create the nation's first coast-to-coast freight rail operator and reshape the movement of goods from grains to autos across the country. If approved, the deal would combine Union Pacific's stronghold in the western two-thirds of the U.S. with Norfolk's 19,500 mile network that primarily spans 22 eastern states. This would mark the largest-ever buyout in the sector, merging Union Pacific, the biggest U.S. railroad operator, with Norfolk, one of the top players, granting the combined company transcontinental dominance. On Thursday, the two companies had said they were in advanced discussion for a possible merger. The transaction faces numerous regulatory hurdles and will serve as a key test of the changed thinking around antitrust issues under President Donald Trump. Since early 2025, the U.S. Surface Transportation Board, the federal regulatory agency overseeing railroads, has signaled a more industry-friendly approach to merger reviews. Chairman Patrick Fuchs, appointed to the post in January by Trump, has advocated for faster timelines for preliminary assessments, a greater focus on competitive balance rather than blocking consolidation, and a willingness to enforce conditions post-merger rather than deny deals preemptively. The talks have also prompted competitors BNSF, owned by Berkshire Hathaway, and CSX, to explore merger options, people familiar with the matter said. Union Pacific's deal for Norfolk would also need support from labor unions and could invite scrutiny from several other federal agencies. Major railroad unions have long opposed consolidation, arguing that such mergers threaten jobs and risk disrupting rail service. The North American rail industry has been grappling with volatile freight volumes, rising labor and fuel costs, and growing pressure from shippers over service reliability, factors that could further complicate the merger. The last major deal in the industry was the $31 billion merger of Canadian Pacific and Kansas City Southern, which created the first and only single line rail network connecting Canada, the U.S., and Mexico. That deal, finalized in 2023, faced heavy regulatory resistance over fears it would curb competition, cut jobs, and disrupt service, but it was ultimately approved. (Reporting by Shivansh Tiwary and Sabrina Valle, additional reporting by Abhinav Parmar and Mariam Sunny; Editing by Sriraj Kalluvila)
CTV News
3 days ago
- Business
- CTV News
Union Pacific to buy Norfolk in US$85 billion mega U.S. railroad deal
Union Pacific said on Tuesday it would buy smaller rival Norfolk Southern in an US$85 billion deal, to create the nation's first coast-to-coast freight rail operator and reshape the movement of goods from grains to autos across the country. If approved, the deal would combine Union Pacific's stronghold in the western two-thirds of the U.S. with Norfolk's 19,500 mile network that primarily spans 22 eastern states. This would mark the largest-ever buyout in the sector, merging Union Pacific, the biggest U.S. railroad operator, with Norfolk, one of the top players, granting the combined company transcontinental dominance. On Thursday, the two companies had said they were in advanced discussion for a possible merger. The transaction faces numerous regulatory hurdles and will serve as a key test of the changed thinking around antitrust issues under U.S. President Donald Trump. Since early 2025, the U.S. Surface Transportation Board, the federal regulatory agency overseeing railroads, has signalled a more industry-friendly approach to merger reviews. Chairman Patrick Fuchs, appointed to the post in January by Trump, has advocated for faster timelines for preliminary assessments, a greater focus on competitive balance rather than blocking consolidation, and a willingness to enforce conditions post-merger rather than deny deals preemptively. The talks have also prompted competitors BNSF, owned by Berkshire Hathaway, and CSX, to explore merger options, people familiar with the matter said. Union Pacific's deal for Norfolk would also need support from labor unions and could invite scrutiny from several other federal agencies. Major railroad unions have long opposed consolidation, arguing that such mergers threaten jobs and risk disrupting rail service. The North American rail industry has been grappling with volatile freight volumes, rising labour and fuel costs, and growing pressure from shippers over service reliability, factors that could further complicate the merger. The last major deal in the industry was the $31 billion merger of Canadian Pacific and Kansas City Southern, which created the first and only single line rail network connecting Canada, the U.S., and Mexico. That deal, finalized in 2023, faced heavy regulatory resistance over fears it would curb competition, cut jobs, and disrupt service, but it was ultimately approved. (Reporting by Shivansh Tiwary and Sabrina Valle, additional reporting by Abhinav Parmar and Mariam Sunny. Editing by Sriraj Kalluvila)
Yahoo
3 days ago
- Business
- Yahoo
UPS buyout details: What's in the offer, how many jobs are affected and what Teamsters say
UPS, one of the world's largest package delivery companies, is offering employees a buyout option. The buyout, called the "Driver Voluntary Separation Program" is available for consideration by full-time, U.S.-based drivers, and is the first time in the company's history this sort of offer has been made to drivers, UPS said in a statement. "As we navigate an unprecedented business landscape, we are executing the largest network reconfiguration in UPS history. For the first time ever, in recognition of these unique circumstances, we are offering our full-time U.S. drivers the opportunity to participate in a voluntary program that provides an opportunity to receive a generous financial package if they choose to leave UPS," the company statement said. The International Brotherhood of Teamsters, the union representing an estimated 340,000 UPS workers across the country, has called the voluntary offer to drivers "insulting" and alleges the program violates the terms agreed to in the 2023 labor contract. More: EXCLUSIVE: Humana to offer employees a buyout in form of early retirement option At Teamsters Local 89, which represents UPS workers at Worldport and Centennial Hub in Louisville, President Avral Thompson told The Courier Journal he believes there will be roughly 800 eligible drivers for the buyout in the Louisville-area. Here's what we know about the UPS voluntary separation being offered to full-time drivers: Why is UPS offering a voluntary separation to full-time drivers? In April, the shipping giant announced at its quarterly earnings report that it would undergo the "the largest network reconfiguration in UPS history." This announcement included cutting some 20,000 jobs across the global company and shuttering more than 70 facilities. The company cited "new or increased tariffs" and "changes in general economic conditions in the U.S. or internationally" as the reason behind the cuts, USA Today previously reported. Additionally, the first quarter report from UPS showcased a decline in company revenue when compared to the same quarter of 2024. These cuts marked the second consecutive year of announced job cuts at the company known for its brown package cars. In January 2024, UPS announced it would reduce its worldwide workforce by 12,000 positions which would save the company roughly $1 billion, The Courier Journal previously reported. More: Churchill Downs Inc. reports all-time record revenue, viewership for 2025 Kentucky Derby UPS will report its second quarter results July 29. Analysts are expecting the earnings per share value to decrease by nearly 13%, according to NASDAQ. What is in the UPS buyout offer? The voluntary separation offers eligible drivers who choose to accept the offer $1,800 per year of service at UPS, with a minimum payout of $10,000, the company said. Drivers who take the offer will also receive "any earned retirement benefits, including pension and healthcare." In one separation letter shared with The Courier Journal, a driver was offered more than $57,000. "Our members cannot be bought off and we will not allow them to be sold out," International Brotherhood of Teamsters President Sean O'Brien said in a statement. "The Teamsters are prepared to fight UPS on every front with every available resource to shut down this illegal buyout program." Does the UPS buyout violate the 2023 union contract? One of the largest concerns the union has raised over the voluntary separation option is its legality. In the 2023 labor negotiations between UPS and Teamsters, the two sides agreed that over the life of the contract, which expires July 31, 2028, UPS would offer "part-time employees the opportunity to fill at least 22,500 permanent full-time job openings" that would be covered under the union contract. The Teamsters claim the voluntary separation offers "directly violate" the job creation clause in the 2023 national agreement. "UPS is trying to weasel its way out of creating good union jobs here in America by dangling insulting buyouts in front of Teamsters drivers. It is an illegal violation of our national contract," O'Brien said in a statement. "UPS is obligated to establish tens of thousands of new full-time jobs under the agreement. But CEO Carol Tomé and UPS's corporate managers are hoping that if they offer paltry severance packages to enough workers, no one will notice the company is setting the union's contract on fire." More: 'You can fire us': BlueOval SK workers refused to handle toxic chemical, records show UPS, however, states it is following the contract and is "on pace to meet or exceed our obligations to offer part-time employees the opportunity to fill at least 22,500 full-time job openings throughout UPS package operations." "UPS remains committed to the agreements we reached with the Teamsters in 2023 as part of our contract negotiations," a spokesperson told The Courier Journal. Contact business reporter Olivia Evans at oevans@ or on X, the platform formerly known as Twitter at @oliviamevans_. This article originally appeared on Louisville Courier Journal: UPS offers drivers voluntary separation for first time in history Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
