B.C. Sun Rype going private
September 27, 2013 By The Canadian Press
September 26, 2013, Vancouver, BC – The strategy to take Kelowna, B.C.-based juice and snack maker Sun-Rype private went through one of the final steps recently as details of the deal were presented to a B.C. Supreme Court judge in Vancouver.
The chambers hearing was slated to take no more than 10 minutes after Sun-Rype shareholders approved sale of the company to firms owned by Jim Pattison at a special meeting.
Once the pact receives the court nod, the transaction is expected to be completed about Sept. 30.
All Sun-Rype common shares will be sold for $7.50 to SRF Acquisition Inc., a wholly owned subsidiary of Great Pacific Industries, which already holds a majority stake in the firm.
The deal to take the company private was earlier reported to be worth about $94 million.
After starting as a co-operative nearly 70 years ago for Okanagan orchardists to supply their process-grade fruit for juices and snacks, Sun-Rype became a publicly-traded company in 1995.
Since then, stock has ranged from $2 to $10 in value, and was in the $6.20 range when the Pattison bid for the outstanding shares was announced in July.
In a news release, the Sun-Rype board said going private would result in immediate savings for the company “in terms of management time and actual financial costs a management time will be more effectively spent in addressing the opportunities and risks than in dealing with the ongoing obligations imposed on a public company.”
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