Mexican Regulator Turns Down Railroad Appeal

Mexico’s competition commission rejected, for the second time, the merger of two railroads owned by Grupo Mexico, the country’s largest copper producer. Kansas City Southern Industries, which owns the third of the country’s main railroad networks, had complained the merger would hurt competition as it would have given a 54% market share to the merged operators. Grupo Mexico bought Ferrosur, which operates mainly in the south, from magnate Carlos Slim, to merge it with its Ferromex operations in northern Mexico. The Commission first rejected the merger in June.