Sirius XM Canada Holdings Inc logo

XSR - Sirius XM Canada Holdings Inc News Story

C$4.49 -0.0  -0.2%

Last Trade - 26/05/17

Sector
Consumer Cyclicals
Size
Micro Cap
Market Cap £n/a
Enterprise Value £n/a
Revenue £201.0m
Position in Universe th / 2711

UPDATE 1-Sirius XM Canada to be taken private by SiriusXM, top Canadian holders

Fri 13th May, 2016 12:37pm
(Adds details on the deal) 
    May 13 (Reuters) - Sirius XM Canada Holdings Inc  XSR.TO  
said on Friday that SiriusXM Holdings Inc  SIRI.O , its biggest 
shareholder, along with two of its top Canadian shareholders 
will take the satellite radio service private. 
    The deal values Sirius XM Canada at about C$472 million 
($367 million), based on Reuters calculations. 
    Sirius XM Canada's shareholders will receive C$4.50 per 
share in cash or SiriusXM Holdings stock for each share they 
own, representing a premium of 6.4 percent to the stock's 
closing price on Thursday. 
    SiriusXM Holdings said it expects to pay about $275 million 
for the transaction, which will increase its stake in Sirius XM 
Canada to 70 percent from 37 percent, and give it ownership of 
30 percent of its voting shares.  urn:newsml:reuters.com:*:nPn4msQg9 
    Sirius XM Canada said the rest of its equity and voting 
stakes will be held by Slaight Communications Inc and 
Toronto-based private equity firm Obelysk Media.  urn:newsml:reuters.com:*:nCNWTr8vwa 
    Slaight, a Canadian radio broadcasting company, was Sirius 
XM Canada's third-biggest shareholder with a 10.2 percent stake 
of as of Dec. 9, according to Thomson Reuters data. 
    The Canadian Broadcasting Corp, the national public radio 
and television broadcaster, will cease to be a shareholder in 
Sirius XM Canada following the transaction, said Jim Meyer, 
chief executive of SiriusXM Holdings. 
    The CBC was Sirius XM Canada's second-biggest shareholder 
with a 12.5 percent stake of as of Dec. 9, according to Thomson 
Reuters data. 
    Sirius XM Canada said the CBC, Slaight and Obelysk Media, 
its three biggest Canadian shareholders, supported the deal. 
    Much of Sirius XM Canada's content will continue to be 
created locally, while the company's existing Canada-led 
governance structure will be preserved, said Meyer. 
    Sirius XM Canada received financial advice from National 
Bank Financial Markets and Ernst & Young LLP as independent 
valuator, and legal advice from Stikeman Elliott LLP, Blake, 
Cassels & Graydon LLP and Fasken Martineau DuMoulin LLP. 
    SiriusXM's financial adviser is JP Morgan Securities LLC and 
its legal adviser is Norton Rose Fulbright Canada LLP. 
 ($1 = C$1.29) 
 
 (Reporting by Anet Josline Pinto in Bengaluru; Editing by Savio 
D'Souza) 
 ((AnetJosline.Pinto@thomsonreuters.com; within U.S. +1 646 223 
8780, outside U.S. +91 99 1694 7070; Reuters Messaging: 
AnetJosline.Pinto.thomsonreuters.com@reuters.net)) 
 
Keywords: SIRIUS XM CANADA M&A/SIRIUS XM HOLDINGS
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