May 13, 2016 / 10:37 AM / 2 years ago

BRIEF-SiriusXM Canada to go private

May 13 (Reuters) - Sirius Xm Canada Holdings Inc :

* Consideration of c$4.50 per share for an aggregate amount of C$351 million

* Siriusxm canada to maximize value for shareholders through a recapitalization go-private transaction

* Entered into a definitive agreement to recapitalize company by way of a go-private transaction

* Will suspend declaration and payment of dividends on siriusxm canada shares for up to two fiscal quarters

* Has also terminated its normal course issuer bid as announced on february 1, 2016

* Transaction to be completed by way of a plan of arrangement through which class a shareholders can elect to receive c$4.50 in cash

* Has agreed to a standstill agreement with siriusxm canada with respect to issues raised in its demand notice

* Standstill agreement is terminable upon seven days’ written notice by either party

* Shareholders can also elect to receive 0.898 shares of siri, 0.898 shares exchangeable into siri shares; or a combination thereof

* No more than 35.0 million shares of siriusxm and exchangeable shares in aggregate will be issued

* Special independent committee of co’s board unanimously recommended that siriusxm canada shareholders approve arrangement

* Will enter into agreement pursuant to which co will continue to license co’s existing satellite systems to provide audio service in canada

* Siriusxm canada’s outstanding senior unsecured notes due april 23, 2021 will be treated in accordance with their terms

* Board,Special committee received financial advice from National Bank Financial markets and ernst & young llp Source text for Eikon: Further company coverage: (Bengaluru Newsroom: +1-646-223-8780)

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