The Superior Court of Quebec has granted a final order approving Air Canada’s acquisition of Transat A.T. – parent company of Air Transat.
There were no objections made to the court to the application, which was approved by nearly 95 per cent of shareholders at a special meeting of Transat held on 23 August.
Earlier this month, Air Canada raised its purchase price for the acquisition of all issued and outstanding shares of Transat A.T.from C$13 to $18 per share.
Based on the increased consideration, the value of the all-cash transaction is now approximately $720 million, up from the $520 million previously agreed in June.
The acquisition will proceed by way a court-approved plan of arrangement pursuant to the Canada Business Corporations Act. The transaction remains subject to regulatory approvals and the other closing conditions.
If such approvals are obtained and conditions are met, the transaction is expected to be completed in 2020.