SiriusXM Canada agree to go private
August 31, 2016
By Chris Forrester
Shareholders in SiriusXM Canada Holdings, which controls the pay-radio broadcaster ‘north of the border’ in Canada, have approved a resolution to go private.
The vote supports a C$275 million recapitalisation scheme. Canada’s CBC public broadcaster will sell its shares and the end result will see the US ‘parent’ own 70 percent of the economic interest in the new company and 33 per cent voting interest. Slaight Communications and Obelysk Media will, between them, own 67 per cent voting control and 30 percent of the recapitalised business.
The decision has to be approved by Ontario’s Superior Court of Justice.
“The strong voting support in favour of the transaction clearly demonstrates that our shareholders recognise that it is an opportunity for them to best maximize the value of their current investment, be it by taking advantage of the premium cash offer, remaining invested in the North American market opportunity, or a combination of both,” said Mark Redmond , President/CEO of SiriusXM Canada. 2With these shareholder approvals in place, we will continue to work to secure the necessary regulatory approvals to close the transaction in a timely manner.”