It’s Done: Onex Group & WestJet Announce Completion Of Acquisition Deal
Bruce Parkinson, Open Jaw
Onex Corporation and WestJet Airlines Ltd. have announced the completion of a transaction valued at approximately $5 billion including assumed debt.
The closing of the Onex acquisition of WS comes following yesterday’s receipt of the final regulatory approval by the Canadian Transportation Agency.
Pursuant to the deal, WS shareholders will receive $31.00 in cash for each share held at the time the agreement was struck.
A form of letter of transmittal pursuant to which registered shareholders of WestJet can submit their share certificates in order to receive their payment is being mailed to all registered shareholders.
A copy of the letter has been filed on WestJet's profile at www.sedar.com and is being posted on WestJet's website. Shareholders of WestJet who hold their shares through a broker are not required to submit a letter of transmittal -- they will receive the cash consideration through their brokerage account.
WestJet common shares will be delisted from the Toronto Stock Exchange within a few trading days.
Because the closing of the deal occurred prior to 18DEC, the former public shareholders of WestJet will not receive the previously declared quarterly dividend to be paid on 31DEC.
Onex’ portion of the total equity investment was approximately $345 million. Further terms of the transaction are not being disclosed.
Bruce Parkinson Editor-in-Chief
An observer and analyst of the Canadian and international travel industries for over 25 years, Bruce uses the pre-dawn hours to prepare a daily news and information package to keep industry members up to date.