MONTREAL, QUEBEC and VANCOUVER, BRITISH COLUMBIA – Cogeco Cable has completed the purchase of all of the issued and outstanding common shares of IT hosting provider Peer 1 for $3.85 per share in a transaction valued at $526-million. Cogeco is financing the deal primarily through credit, with National Bank of Canada acting as underwriter.
"We are excited that all conditions of our offer have been satisfied and are thrilled with the prospects this acquisition presents to Cogeco Cable shareholders, customers and employees," said Louis Audet, President and CEO of Cogeco Cable.
"We are fully committed to implementing our growth strategy in the data centre services sector and to further develop our robust service suite for businesses across Canada, the U.S. and parts of Europe. Peer 1, along with Cogeco Cable's subsidiary Cogeco Data Services, will focus on delivering a seamless solution for our customers' increasingly sophisticated and complex needs. The infrastructure and expertise of both organizations provides us with the scale and scope to maximize potential growth in the enterprise services market," added Audet.
"This transaction opens new possibilities for our customers, management and employees," said Fabio Banducci, President and CEO of Peer 1. "Similar to Cogeco Cable and its subsidiaries, Peer 1 strives to provide exceptional customer service and deliver technological excellence to our customers."
Under the offer Cogeco Cable will take control of Peer 1's board of directors and operations and intends to acquire all of the remaining common shares not deposited under the offer pursuant to the compulsory acquisition provisions in Section 300 of the Business Corporations Act (British Columbia).
