WestJet receives shareholder approval for acquisition by Onex
Canadian airline WestJet’s acquisition by Toronto based investment fund Onex Corporation has been approved by shareholders.
With 60% of voting shares and 54% of stock options represented at the meeting, over 92.5% of those voting were in favor of the deal.
Ed Sims, WestJet's President and Chief Executive Officer, said, "We are very pleased to obtain overwhelming support from our securityholders at today's special meeting. Receiving this support is an important step on our path to closing the transaction, and we continue to engage with the necessary authorities on the remaining approvals."
The deal, once completed, will see WestJet acquired for CA$31 per share, meaning the transaction will come in at roughly CA$5bn (US$3.71bn).
The news comes after the June approval of the deal from Canadian Minister of Transport Marc Garneau on the basis that the acquisition does not raise public interest issues related to national transportation. Other conditions still need to be satisfied before closing, including regulatory and court approval. The company expects the transaction to go through in the latter part of 2019 or early 2020.
WestJet trades on the Toronto Stock Exchange under the symbol “WJA”, as does Onex as “ONEX”.