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

Comments are closed

Just Posted

47 new COVID-19 cases Tuesday in Alberta, still 620 active cases

3 active COVID-19 cases remain in Red Deer

COVID-19: Central zone at four active

Alberta confirms 130 cases Monday

Sylvan Lake woman distressed after cat shot at with pellet gun, loses its eye

Warning: Photo may be disturbing to some. Evelina Cornell’s cat Ms Grey was shot in the face and hip

Albertans get an extra free order of COVID-19 masks

Packages will be available July 13 at fast food restaurants

COVID-19 scare sees Latvia-bound troops turn around, return to Canada

Those on board face another 14 days in isolation

QUIZ: A celebration of dogs

These are the dog days of summer. How much do you know about dogs?

Charges dropped against N.S. woman injured during arrest in racial profiling case

Charges dropped against N.S. woman injured during arrest in racial profiling case

Conservative stalwart Scott Reid backing newcomer Leslyn Lewis for leadership

Conservative stalwart Scott Reid backing newcomer Leslyn Lewis for leadership

Planned class-action lawsuit alleges illegal strip-searches of federal prisoners

Planned class-action lawsuit alleges illegal strip-searches of federal prisoners

Two protesters get conditional discharge after Alberta turkey farm demonstration

Two protesters get conditional discharge after Alberta turkey farm demonstration

Daisies bring a sunny look to the garden

Daisies bring a sunny look to the garden

IIHF encouraged by NHL’s potential return to Olympics in ‘22

IIHF encouraged by NHL’s potential return to Olympics in ‘22

Raptors coach Nick Nurse knows attention to family will be key for players

Raptors coach Nick Nurse knows attention to family will be key for players

NFL, NFLPA still haven’t resolved all protocol for camps

NFL, NFLPA still haven’t resolved all protocol for camps

Most Read