Company News

BUZZ-Transat A.T. surges on Air Canada deal talks

** Shares of Canadian tour operator Transat A.T. Inc’s rise 15.3% to C$12.20 after Air Canada says it is in talks to buy co

** In the all-cash deal valued at C$520 mln, Transat shareholders will get C$13 per share, a premium of 23% to its Wednesday close

** Deal allows Air Canada to expand its hub at Montréal-Trudeau Airport, where it has added 35 new routes since 2012 - Chief Executive Officer Calin Rovinescu

** Canada’s Transport Minister Marc Garneau says the deal would likely be subject to provisions of the country’s Competition Act, and that it is within his authority to determine if it warrants a public interest review

** Air Canada shares up 2.3 %, Chorus Aviation ~1%, while WestJet Airlines down ~1%

** Including Thursday’s gains, TRZ shares have risen 105% YTD and Air Canada 53%

Reporting by Shradha Singh in Bengaluru