MONTREAL — Cogeco announced Tuesday its majority shareholder, Gestion Audem Inc., has entered into an agreement to sell a block of subordinate voting shares on a private placement basis. Gestion Audem is the Audet family holding company, which owns majority control of Cogeco’s voting shares.
In connection with the sale of 288,183 subordinate voting shares, Gestion Audem will convert 210,643 multiple voting shares into subordinate voting shares, the news release says. The transaction does not alter the control of Cogeco since, upon completion of the transaction, Gestion Audem will retain control of Cogeco and ownership over 1,599,017 multiple voting shares, representing in aggregate more than 66.67% of the voting rights associated with all shares of Cogeco.
“This transaction represents only a small percentage of Gestion Audem’s holding in Cogeco Inc.,” said Louis Audet, president of Gestion Audem Inc., in the release. “On behalf of all members of the Audet family, I wish to confirm that we remain fully committed to maintaining a controlling ownership position and to continue to grow Cogeco, which was founded by our father Henri Audet more than sixty years ago.”
The transaction is expected to close on or about January 23, 2020, subject to customary closing conditions.
