ShawCor to eliminate multiple-voting shares
25 February 2013 - 11:54am
ShawCor will be eliminating its current two-class share structure under a Plan of Arrangement by having a Newco purchase the ShawCor Class A shares (carrying one vote per share) on a 1-for-1 basis and the ShawCor Class B shares (carrying 10 votes per share) for consideration representing approximately a 10% premium to what's being paid for the Class A shares and comprised 90% of Newco shares and 10% cash. Newco and ShawCor will then amalgamate, and Amalco will pay a special cash dividend of $1.00 on each Amalco share.
The cash may not have been pushed out on a s. 86 reorganization as the Class B shares apparently have nominal paid-up capital.
Neal Armstrong. Summary of ShawCor Circular under Dual Share Class Eliminations.