MONTREAL, Que. -- TransForce has made a bid for Vitran, proposing a takeover at $4.50 per share.
TransForce already controls 9.51% of the outstanding shares of Vitran.
Vitran recently sold its US LTL division to the Moroun family in Detroit, which also own and operates the Ambassador Bridge as well as a number of trucking companies.
The proposal from TransForce was made in a letter sent yesterday to Vitran’s chairman of the board of directors. The proposal is conditional on the completion of the sale of the US business, announced on Sept. 23.
If the deal proceeds, Vitran would continue to operate as its own entity within the TransForce group.
“TransForce is very keen that the existing management team remain with Vitran going forward to continue to execute their business plan,” TransForce said in a release.
If Vitran doesn’t agree to the offer, TransForce said it will explore other options, including taking the proposal directly to shareholders.