Shareholders OK Plan for Empire to Acquire All Common Shares of Sobeys
STELLARTON, N.S. -- Sobeys, Inc. here and Empire Co., Ltd. said Saturday that Sobeys' shareholders have approved the plan of arrangement under which Empire will acquire all of the outstanding common shares of Sobeys that it doesn't now own, for CAN $58 (US $55) per share, thus taking the Canadian food retailer private.
Empire currently owns 72.1 percent of Sobeys' issued and outstanding shares. Over 99.9 percent of the common shares represented at the meeting, and 98.9 percent of the common shares not held by Empire or parties related to Empire, were voted in favor of the transaction.
The plan of arrangement remains subject to the sanction of the Supreme Court of Nova Scotia under the Nova Scotia Companies Act. Sobeys expects that the application for sanction will be considered by the Supreme Court on Wednesday. If the court gives the green light, the plan will be effective upon registration of the final court order with the Nova Scotia Registry of Joint Stock Companies, which Sobeys expects will occur after the close of business on Friday.
When the plan goes into effect, the Sobeys common shares will be delisted from the Toronto Stock Exchange. CIBC Mellon Trust Co., the depositary for the transaction, will then distribute a letter of transmittal with nstructions for the return of share certificates and receipt of payment to shareholders of record at the effective time of the plan.
The companies announced the agreement to take Sobeys private in April.
Empire currently owns 72.1 percent of Sobeys' issued and outstanding shares. Over 99.9 percent of the common shares represented at the meeting, and 98.9 percent of the common shares not held by Empire or parties related to Empire, were voted in favor of the transaction.
The plan of arrangement remains subject to the sanction of the Supreme Court of Nova Scotia under the Nova Scotia Companies Act. Sobeys expects that the application for sanction will be considered by the Supreme Court on Wednesday. If the court gives the green light, the plan will be effective upon registration of the final court order with the Nova Scotia Registry of Joint Stock Companies, which Sobeys expects will occur after the close of business on Friday.
When the plan goes into effect, the Sobeys common shares will be delisted from the Toronto Stock Exchange. CIBC Mellon Trust Co., the depositary for the transaction, will then distribute a letter of transmittal with nstructions for the return of share certificates and receipt of payment to shareholders of record at the effective time of the plan.
The companies announced the agreement to take Sobeys private in April.