Business
GENIVAR Income Fund Announces Agreement to Convert to a Corporation
GENIVAR Income Fund Announces Agreement to Convert to a Corporation
About this update from Wsp Global Inc
[{"type":"text","content":"\n\n\n\nMONTREAL, Apr. 16, 2010 (Canada NewsWire Group) -- /CNW Telbec/ -- GENIVAR Income Fund (TSX:GNV.UN) (the \"Fund\") today announced that it has entered into an agreement to convert from an income trust structure to a publicly-traded corporation on or about January 1, 2011 (the \"Arrangement\").In order to effect the conversion, the Fund has signed a definitive agreement (the \"Arrangement Agreement\") with GENIVAR Inc., to combine and form a new, publicly-traded corporation. GENIVAR Inc. is the holding corporation through which its shareholders, all of which are employees of the Fund's subsidiaries, hold an indirect interest of 33.35% in the Fund. The new corporation will be named GENIVAR Inc. (\"New GENIVAR\") and the Fund has filed an application with the Toronto Stock Exchange (the \"TSX\") for the listing of the common shares of New GENIVAR on the TSX under the symbol \"GNV\" upon completion of the Arrangement.The Arrangement will occur pursuant to a statutory plan of arrangement under Section 192 of the Canada Business Corporation Act. The details of the Arrangement are further described in the Notice of Annual and Special Meeting of Unitholders and the Management Information Circular to be sent to voting unitholders at the end of April 2010, in connection with the conversion and other matters to be considered at the annual and special meeting (the \"Meeting\") of unitholders to be held on May 27, 2010.\"The Fund believes that this arrangement will simplify the business structure and will provide greater flexibility to continue growing its business,\" said Pierre Shoiry, President and CEO of the Fund. \"Since it became public as an income trust in May 2006, the Fund concluded 42 acquisitions and expanded significantly its geographic reach nationally and abroad to become a leader in the engineering services business in Canada. The Fund grew its revenue and EBITDA from respectively $176 million to $478 million and from $26 million to $79 million, from fiscal year 2006 to fiscal year 2009. As a corporation, we intend to pursue our growth strategy in Canada and internationally and reach another milestone of our leadership. New GENIVAR will be managed by the same experienced team of professionals that have demonstrated their ability to efficiently manage our operations,\" added Mr. Shoiry.Pursuant to the Arrangement, unit...