What is the value of the Union Pacific and Norfolk Southern merger?

The enterprise value of the deal is $85 billion, at $320 per share.

Which regulatory body is reviewing the deal?

The Surface Transportation Board (STB) is reviewing the deal.

When did the board accept the revised application?

The board accepted the revised application on May 28, 2026.

What are the main risks of the deal?

Main risks include regulatory rejection or stringent conditions that could reduce the deal's value.

Union Pacific vs Norfolk Southern: Who Wins in the $85B Rail Megamerger?

Union Pacific and Norfolk Southern are at the center of the largest rail merger in U.S. history, valued at $85 billion. The Surface Transportation Board accepted the revised application but paused the review to request more information.

Investors are closely watching the massive merger between Union Pacific (NYSE: UNP) and Norfolk Southern (NYSE: NSC), which could create a new giant in the U.S. railroad sector. The deal, with an enterprise value of $85 billion and a price of $320 per share, represents the largest merger in the industry's history.

Deal Details

Total Value: $85 billion (enterprise value)
Price per Share: $320 (cash and stock mix)
Regulator: Surface Transportation Board (STB)
Latest Development: STB accepted the revised application on May 28, 2026, then paused the review to request additional information

Rationale for the Deal

Both companies aim to achieve significant economies of scale, improve network efficiency, and enhance competitiveness against trucking. Combining routes could reduce operational costs and improve customer service.

Regulatory Challenges

The deal faces substantial regulatory hurdles, as the STB is known for its strict scrutiny of major mergers. The board has already paused the review to request more data, indicating possible stringent conditions or even rejection.

Impact on Stocks

Union Pacific (UNP): If the deal goes through, it could benefit from an expanded eastern rail network.
Norfolk Southern (NSC): Shareholders may receive a premium, but regulatory risks remain.

What This Means for Investors

Investors should closely monitor regulatory developments. Any delay or rejection could negatively impact both stocks. Conversely, approval could trigger significant upside.