Transat warns of ‘abusive’ bid to stop sale to Air Canada, files complaint with regulator

Group Mach hopes to secure “at least” 6.9 million Class B shareholders at a cost of about $97 million

Transat A.T. Inc. is warning shareholders against what it calls an “abusive” and “misleading” move by Montreal real estate developer Group Mach to block the tour operator’s sale to Air Canada.

Transat says it has filed a complaint with Quebec’s securities tribunal concerning Group Mach’s effort last week to scoop up 19.5 per cent of Transat’s shares at $14 per share in order to stop the pending acquisition.

Transat says its board rejects Group Mach’s bid as a “significant risk” to shareholders that disregards their interests and subverts financial market rules.

The offer from Group Mach chief executive Vincent Chiara represents an eight per cent premium over Air Canada’s $13 per share offer, which Transat’s board approved in June.

Group Mach hopes to secure “at least” 6.9 million Class B shareholders at a cost of about $97 million.

The CEO said last week he believes Air Canada under-values Transat, saying its sale process to the country’s largest airline was flawed and full of uncertainty for Transat employees and its Montreal head office.

READ MORE: Air Canada stock hits new high on news of exclusive talks to buy Transat AT

The Canadian Press


Like us on Facebook and follow us on Twitter.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Vernon dusts off old grad dresses and tuxes for first ever Adult Prom

Literacy Society of North Okanagan “fun-raiser” brings back puffy sleeves and blue tuxedos

Our history in pictures

Vernon’s first home built in 1860s

Vernon City Hall now a pub

The building, built in 1903, is now where Marten Brewing Co. is

BX blaze sends woman to hospital

Firefighters rescue cat from early morning fire near Vernon

Enderby Library closed for maintenance

Okanagan Regional Library encourages patrons to visit Armstrong branch in meantime

Fashion Fridays: Look your best this year

Kim XO, helps to keep you looking good on Fashion Fridays on the Black Press Media Network

A Gardener’s Diary: Not too soon to think of spring in Vernon

Jocelyne Sewell gives advice on getting a leg up on gardening

LETTER: Worst customer service award goes to…

To the Editor, Worst customer service award: And the Winner is….. BC… Continue reading

Oil and gas industry applauds Supreme Court’s dismissal of B.C. TMX case

The high court’s ruling Thursday removes one of the remaining obstacles for the project

Airliner crash a mistake that pleased Iran’s enemies: Supreme Leader Khamenei

Iran’s supreme leader says dowining of Flight 752 was a bitter accident in rare sermon

Sub-zero B.C. weather freezes clothing in just 45 minutes

A local photographer decided to have some fun with the frosty weather before its gone

Penticton RCMP take down local drug trafficking operation

Weapons, suspected drugs, seized by RCMP

RCMP release photos of man wanted in Princeton armed robbery

RCMP have released photos and a description of the man suspected of… Continue reading

Most Read