Transat shareholders approve Air Canada takeover, squeezing competition

Transat shareholders have authorized Air Canada’s $720-million merger offer, a miracle on a rambling highway toward a takeover.

In a special assembly in Montreal Friday, shareholders of a Quebec-based debate user voted to accept a $18-per-share bid from a country’s largest airline.

A sum of 94.77 per cent of votes expel were in favour, good above a compulsory two-thirds threshold.

The thumbs-up would slight a margin of conduit competition, securing for Air Canada about 60 per cent of a transatlantic marketplace from Canada and assisting a association say a organisation reason on Montreal atmosphere travel.

The takeover is approaching to face heated inspection from a Competition Bureau and other regulatory authorities.

The go-ahead comes after months of turbulence. Transat’s biggest shareholder, Letko Brosseau and Associates, had pronounced it would opinion opposite Air Canada’s initial offer of $13 per share, initial put brazen in Jun following months of negotiation.

That offer stirred other expressions of seductiveness from players such as Group Mach, whose prejudiced bid of $14 a share resulted in a bonds judiciary statute that barred a Quebec developer’s offer. It also precipitated Air Canada boosting a bid by $200 million to a stream price.

Quebec business lord Pierre Karl Péladeau hinted final week he designed to make an offer of his possess if a opinion failed, and to use his 1.6 per cent seductiveness in Air Transat’s primogenitor association to opinion opposite a Air Canada deal, that a former politician has pronounced is “contrary to a open interest.”

Article source: https://www.cbc.ca/news/canada/montreal/air-transat-shareholders-approve-sale-air-canada-1.5257276?cmp=rss