América Retail | Homepage
Wednesday, July 26, 2017

La Primera Comunidad del Retail y Consumo Masivo en Latino América

Canada: Lowe’s makes another run at Rona preferred shares by boosting offer

Canada: Lowe’s makes another run at Rona preferred shares by boosting offer

Octubre 11, 2016

👤Periodista: María Alejandra Lopez 🕔11.Oct 2016

 

Lowe’s has boosted its offer for Rona’s remaining preferred shares, more than four months after the U.S. home renovation retailer closed its $3.2-billion takeover of its Canadian rival.

Lowe’s is offering a total of $165.5-million, or $24 per share in cash, to the holders of the 6.9 million preferred shares.

The preferred shareholders rejected a $20 per share offer in March.

Also Read: Toronto gets a vegan grocery store 

At the time, preferred shareholder Stirling Capital of London described the prior offer as “oppressive” because it was less than the $25 face value for the shares.

Lowe’s says the purchase of the outstanding preferred shares and retiring of $117-million in debentures will simplify its financial reporting obligations by eliminating administrative functions associated with publicly traded shares.

The company would also no longer have to pay quarterly dividends to the preferred shareholders.

The offer must be approved by at least two-thirds of preferred shareholders at a meeting expected to take place in November.

Also Read: Aritzia IPO leads to warning from market watchers 

Fidelity Investments Canada, which owns a significant number of these shares, has agreed to vote in favour of the deal.

Preferred shares have a higher claim than common shares on the assets and earnings of a company and generally have dividends that must be paid out first.

Source: The Globe and Mail

Articulos relacionados

Canada: Shoppers disappointed by Sears closing sale in Kingston

Canada: Shoppers disappointed by Sears closing sale in Kingston

Julio 25, 2017

  Saturday morning brought early crowds to the Sears Home store in Kingston, Ont. Many hoped

Canada: Hindus welcome Lululemon for launching meditation space in its stores

Canada: Hindus welcome Lululemon for launching meditation space in its stores

Julio 25, 2017

  Hindus have welcomed the popular athletic apparel company Lululemon Athletica Inc. for launching meditation space

Canada: Hot sales of cold brew might be just what the coffee market needs

Canada: Hot sales of cold brew might be just what the coffee market needs

Julio 25, 2017

  Can cold brew perk up sleepy coffee markets? Surging sales of the trendy summertime drink have

Canada: Couche-Tard prepares for growing electric car sales

Canada: Couche-Tard prepares for growing electric car sales

Julio 25, 2017

  Alimentation Couche-Tard, one of the largest gas retailers in Canada, is looking to Norway for

Canada: FedEx Office stores closing in Canada

Canada: FedEx Office stores closing in Canada

Julio 25, 2017

  Shipping giant FedEx is closing its FedEx Office stores in Canada after 32 years in

Últimas Noticias

SECTIONS

América Retail