Union Pacific Corp. could reach an agreement to acquire Norfolk Southern Corp. and create a transcontinental rail behemoth as soon as early next week, people familiar with the matter said.

Union Pacific , the largest U.S. railroad operator, could reach an agreement to acquire rival Norfolk Southern as soon as early next week, Bloomberg News reported on Friday, citing people familiar with the matter.

(UP) and Norfolk Southern Corp., major grain shippers and two of the six Class I freight railroads in North America, confirmed they are in “advanced discussions” regarding a potential merger. “There can be no assurances as to whether an agreement for a transaction will be reached or as to the terms of any such transaction,