CALGARY, May 2, 2016 /CNW/ - Trimac Transportation Ltd. ("Trimac") (TSX:TMA) today announced that it has received a proposal from its principal shareholder, Trimac Holdings Ltd. ("THL"), to privatize Trimac. Under the proposed transaction, all of the shareholders of Trimac, other than those participating in the privatization, would receive $6.25 cash for their Trimac shares.
THL is indirectly controlled by Jeffrey J. McCaig, the Chairman of Trimac. Mr. McCaig and other members of the McCaig family collectively beneficially own or exercise control or direction over approximately 17.8 million shares of Trimac, representing approximately 65% of the outstanding shares.
THL has proposed that the transaction proceed by way of an arrangement under the Business Corporations Act (Alberta), which requires shareholder approval and the approval of the Court of Queen's Bench of Alberta. The transaction will also be subject to the independent valuation and minority approval requirements under applicable securities laws.
A special committee of independent directors has been established to consider the proposed transaction and the special committee has retained an independent valuator who is in the process of preparing a valuation of the Trimac shares.
The proposed transaction is premised on no further dividends being declared.
There is no assurance that the Board of Directors of Trimac will recommend that the proposed transaction proceed.
As a result of this announcement, no further purchases of Trimac shares will be made under Trimac's normal course issuer bid, pending completion of the proposed transaction.
About Trimac: Trimac provides bulk trucking services with operations from coast to coast in Canada and the United States. In addition, through National Tank Services, Trimac provides maintenance and tank-trailer cleaning services for both the Trimac fleet and for third party commercial customers. Trimac also provides third party transportation logistics services through its wholly owned subsidiary Bulk Plus Logistics.
SOURCE Trimac Transportation Ltd.
For further information: Matt Faure, Chief Executive Officer or Scott D. Calver, Vice President & Chief Financial Officer, Trimac Transportation Ltd., Telephone: 403-298-5100; For media inquiries please contact: Shauna MacDonald, Brookline Public Relations, Inc., Telephone: 403-538-5645, Mobile: 403-585-4570, firstname.lastname@example.org