Farnham, Quebec, Aug. 19--Domco Tarkett Inc. announced today that its Board of Directors recommends that minority shareholders accept the revised offer of Tarkett Sommer AG announced on August 12, and tender their common shares. The new consideration under the offer is $7.75 per share payable in cash, an increase of $0.25 per share.
Tarkett Sommer also announced on August 12 that its indirect wholly owned subsidiary, 4158148 Canada Inc. has entered into a lock-up agreement with Sipar-Société d'Investissements en Participations Inc. pursuant to which the latter agreed to tender the 1,075,200 common shares beneficially owned, directly or indirectly, or controlled, directly or indirectly, by it into the revised offer. After taking up and paying for the common shares deposited into the revised offer by Sipar, the offeror shall have taken up and paid for at least 4,478,536 common shares, representing approximately 66.34% of the common shares held by the minority shareholders.
The corporation had announced on July 15 that RBC Dominion Securities Inc. had provided the special committee of independent directors with a valuation opinion that the fair market value of the common shares is in the range of $7.50 to $8.75 per common share and with a fairness opinion that the consideration provided in the offer is fair, from a financial point of view, to the minority shareholders.
The notice of change of the offeror was mailed to shareholders on Friday, August 15. The revised offer will be open for acceptance until 11:59 p.m. (Montreal time) on August 25, unless extended. The update of the Directors' Circular of the Corporation, which contains the recommendation that the Corporation's minority shareholders accept the revised offer and the detailed reasons for the recommendation, will be mailed to all shareholders on August 20. The update of the directors' circular will also be available on SEDAR (www.sedar.com).
