Linamar's Tender Offer for Montupet S.A. Latest Move to Solidify the Company as a Global Powerhouse in Aluminum Casting and Machining

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[{"type":"text","content":"\n\n\n\nLinamar's Tender Offer for Montupet S.A. Latest Move to Solidify the Company as a Global Powerhouse in Aluminum Casting and Machining\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\nLinamar's Tender Offer for Montupet S.A. Latest Move to Solidify the Company as a Global Powerhouse in Aluminum Casting and Machining\nCanada NewsWire\nGUELPH, ON, Oct. 15, 2015\n\n\n\nGUELPH, ON, Oct. 15, 2015 /CNW/ - Linamar Corporation (TSX:LNR) today announced its intention to file a Tender Offer for 100% of the outstanding shares and voting rights of Montupet S.A. (EPA:MON), at €71.53 per share in cash, representing a premium of 15.5% compared to the closing price of Montupet shares as of October 14th, 2015 and a premium of 26.7% compared to the 30-day Volume Weighted Average Price. The implied transaction value for 100% of Montupet is approximately €771 million (or $1.16 billion Canadian at $1.50CAD per €). In addition, Linamar would assume the net debt of Montupet, which was €65 million as of June 30th, 2015. Montupet is a global leader in the design and manufacture of complex aluminum castings for the global automotive industry with sales and production facilities diversified across several European countries, North America and Asia. The business combination represents a significant milestone in Linamar's strategy to create global leadership in the integrated casting and machining of aluminum components for the automotive sector. \n\nIn addition, Linamar has entered into a Tender Offer Agreement with Montupet S.A. pursuant to which Montupet, among other things, has agreed to support Linamar's Tender Offer and not solicit other bids. \n\nFurther, Montupet's senior managers and anchor shareholders, who collectively own approximately 36.6% of Montupet's outstanding shares, have individually entered into Undertaking to Tender Agreements with Linamar pursuant to which they have agreed to tender their shares to Linamar's Tender Offer.  As part of this, the senior managers and anchor shareholders have agreed to remain with the company for at leas...

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