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

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

Alberta’s chief medical officer of health, Dr. Deena Hinshaw, said growing COVID-19 case numbers continue to be a concern in the province. (Chris Schwarz/Government of Alberta)
Alberta announces 1,077 new COVID-19 cases Thursday

There are currently 14,052 active cases in the province

File Photo
Sylvan Lake Town Council asks for a mask bylaw to be brought forward for consideration

The bylaw would require face coverings in all indoor Town-owned and operated facilities

The Sylvan Lake Food Bank with fully stocked shelves. File Photo
Sylvan Lake Food Bank to open for donations in lieu of Stuff-A-Bus

The annual stuff-a-bus event has been postponed until sometime in the new year

Alberta’s chief medical officer of health, Dr. Deena Hinshaw, said the 500 deaths from COVID-19 in the province are a tragic milestone. (Photo by Chris Schwarz/Government of Alberta)
Alberta hits ‘tragic milestone’ with more COVID-19 deaths

Province up to 500 COVID-19 deaths, adds 1,265 cases

Photo Submitted
Sylvan Lake Grade 2 students in Holiday Healing Campaign

Students in Nicole Eleniak’s class worked to share love and joy with other children this holiday

The corporate headquarters of Pfizer Canada are seen in Montreal, Monday, Nov. 9, 2020. The chief medical adviser at Health Canada says Pfizer’s COVID-19 vaccine could be approved in Canada next month. THE CANADIAN PRESS/Ryan Remiorz
Health Canada expects first COVID-19 vaccine to be approved next month

Canada has a purchase deal to buy at least 20 million doses of Pfizer’s vaccine,

People wear face masks as they pose next to a Christmas display in Montreal, Sunday, November 22, 2020, as the COVID-19 pandemic continues in Canada and around the world. THE CANADIAN PRESS/Graham Hughes
How to tell family their Christmas gathering is too risky and you’re not going

Dr. Hurst says it’s best to frame the conversation from a place of care, stressing safety precautions.

A sign instructs people to wear masks in downtown Calgary on Friday, Oct. 30, 2020. Pub and restaurant owners are trying to figure out how to comply with a stricter COVID-19 measure in Alberta that dictates only six people from the same household can sit at one table. THE CANADIAN PRESS/Jeff McIntosh
Brewpub owner pleased Alberta not closing sit-down dining as COVID-19 cases soar

Alberta’s caseload of COVID-19 infections has been growing for weeks

This undated photo issued by the University of Oxford shows of vial of coronavirus vaccine developed by AstraZeneca and Oxford University, in Oxford, England. (University of Oxford/John Cairns via AP)
Canada can make vaccines, just not the ones leading the COVID-19 race

Canada has spent more than $1 billion to pre-order seven different developing COVID-19 vaccines

(File photo)
Alberta woman charged after allegedly hitting boy with watermelon at B.C. campsite

Police say a disagreement among friends at an Adams Lake campsite turned ugly

A pedestrian wears masks while out walking in front of the Alberta Legislature as the COVID-19 numbers spike in Edmonton on Tuesday November 24, 2020. THE CANADIAN PRESS/Jason Franson
Doctor says Alberta restrictions not enough to reduceCOVID-19 strain on hospitals

Mithani notes people are still allowed to gather indoors at large places of worship and in bars,

Most Read