CNW OKs Buyout Offer: CNW Corp.’s board...

CNW OKs Buyout Offer: CNW Corp.’s board approved a $1.6-billion buyout offer from a group that includes company management, railroad company Union Pacific Corp. and other investors, prompting hostile suitor Japonica Partners to withdraw its own offer. The buyout group formed by investment banker Blackstone Group, which will hold a controlling interest in the railroad company, agreed to pay $45.50 cash per common share in cash and $4.50 per share of preferred stock. CNW stock jumped 75 cents to close at $47.50 a share in New York Stock Exchange composite trading. Based on about 19 million CNW shares outstanding and the assumption of CNW debt, the management group valued its buyout plan at $1.6 billion.