Third Point Discloses 600,000 Shares in Norfolk Southern Amid $85 Billion Merger Review
Key Facts
Third Point’s filing with the U.S. Securities and Exchange Commission disclosed ownership of 600,000 shares of Norfolk Southern, with a reported value of $188,754,000 at the end of the second quarter of 2026. The same filing showed a holding of 350,000 Union Pacific shares, with a reported value of $95,200,000 on the same date. The filing brings investor Dan Loeb’s name back to the two railroads linked to a proposed $85 billion acquisition. However, the holdings are dated June 30, 2026, and do not necessarily describe the fund’s current positions. Loeb filed the report with the SEC on August 14 for the quarter ended June 30.
Third Point’s reported 13F portfolio was valued at about $4,679,571,988 and included 43 holdings. The stakes in the two rail companies represent part of that portfolio, while the filing provides only a snapshot of positions at the end of the reporting period. The holdings come as regulators review the proposed merger application between Union Pacific and Norfolk Southern. The proposed acquisition is valued at $85 billion, according to an Associated Press report. The report said the deal would create the first transcontinental railroad in the United States.
The regulatory process concerns an amended application after the U.S. Surface Transportation Board rejected the original application on January 16, 2026, as incomplete. The board said at the time that rejecting the application did not indicate how it would assess any subsequent amended application. On May 28, the board accepted the amended application for review, but temporarily paused proceedings and requested supplemental information from the companies. The requested information covered competition, an analysis of traffic diversion and public benefits, a service assurance plan, market share projections and downstream effects of the merger. The companies submitted supplemental information on July 7 and 27, according to the board.
On September 18, the board rejected requests by BNSF, CSX and a coalition of shipper associations to dismiss the amended application without completing its review. The requests had been submitted to the board on August 6, while the board said that continuing to build the case record did not constitute a ruling on the merits of the deal or an endorsement of the companies’ arguments. Review of the amended application resumed and moved to an assessment of its merits, but the board has not ruled on the deal’s merits or approved it. The Associated Press says the merged company could control more than 40% of rail traffic, while the number of major freight railroads in the United States would fall to five. The report said Canadian National announced its support for the deal after securing concessions from Union Pacific, while BNSF and CPKC opposed the merger and CSX raised concerns about its effect on competitive balance.
The Surface Transportation Board set November 18, 2026, as the deadline for comments on the amended application, including protests, requests to impose conditions, evidence and opposing arguments. The deadline also covers opening comments addressing the parties’ arguments on the merits of the deal. The board set February 16, 2027, as the deadline for replies to those comments. These dates put the review at a later procedural stage without resolving the outcome of the application. According to the Associated Press, the size of the proposed deal and its effects on competition and freight traffic remain points of contention.
In trading, Norfolk Southern shares closed at $333.24 on November 12, 2026, while Union Pacific shares closed at $304.2 on the same day. These prices relate to a single trading session and do not, on their own, provide evidence of any change in the positions Third Point reported at the end of June. On operating performance, Union Pacific reported cash flows from operating activities of $5,516 million in the first half of 2026. The company compared that with $4,543 million in the same period of 2025. The next regulatory deadlines, beginning with comments on November 18 and followed by replies scheduled for February 2027, remain upcoming milestones in the board’s review of the amended application.