SAINT-GEORGES, Que. – Quebec-based trailer manufacturer Manac announced today that going forward it will be a privately owned company after it entered into an agreement with a group of investors recently.
A consortium made up of Placements CMI (CMI), Caisse de depot et placement du Quebec (CDPQ), Fonds de solidarite FTQ (FSTQ) , Investissement Quebec (IQ) , and Fonds Manufacturier Quebecois II s.e.c. (FMQ) will acquire all of the issued and outstanding multiple voting shares and subordinate voting shares of Manac for $10.20 in cash per share.
This price is a premium of 18.4% above the average closing price on the Toronto Stock Exchange for the 20-day period before March 30, 2015, when Manac announced its strategic review process.
According to the press release, “the Consortium is composed of CMI, a holding company controlled by (Manac’s) founder Mr. Marcel Dutil, and four renowned Quebec-based institutions, namely CDPQ, FSTQ, IQ and FMQ, two of which, CDPQ and FSTQ, are current shareholders of Manac.” Dutil is also to roll over shares held by his holding company, LITUD, and will remain president and CEO of Manac.
The company will still maintain its head office and production plant in Quebec.
As far as numbers go, the transaction represents a total enterprise value of about $186 million, including the assumption of existing indebtedness, for 100% of Manac, and was approved unanimously by the Board of Directors of Manac (with Dutil abstaining from voting) following the unanimous recommendation of the Special Committee.
“Reaching this conclusion is a great step for Manac, our employees and all of our business partners,” Dutil said. “We look forward to a long collaboration with this group of investors, most of which we have collaborated with in the past.”