Canadian National plans to buy back as many as 1.8 million shares of its common stock as part of its Normal Course Issuer Bid.
CN, which is based in Montreal, said it will work with a third party to buy the common shares through daily purchases.
The shares will be bought on the open market and CN will negotiate with the third party buyer on the price it will pay it for the shares.
The negotiated price will be discounted to the market price on the Toronto Stock Exchange at the time. CN plans to cancel the shares after it purchases them.