SunOpta Board Urges Shareholders to Back US$1.1 Billion Refresco Takeover

The latest announcement is out from SunOpta ( (STKL) ).

SunOpta has filed and begun mailing its management information circular and proxy materials ahead of an April 16 virtual special meeting, where voting shareholders will decide on a proposed plan of arrangement. Under the deal, an affiliate of Refresco Holding B.V. would acquire all outstanding common shares of SunOpta for US$6.50 in cash per share.

The board, acting on the unanimous recommendation of a special committee of independent directors, is urging shareholders to back the transaction, calling the offer fair and in the company’s best interests. Directors highlighted the 44% premium to SunOpta’s recent 20-day volume-weighted average price, the implied US$1.1 billion enterprise value, and the certainty of all-cash consideration following a broad review of strategic alternatives.

They also noted that the valuation reflects attractive EBITDA multiples versus the company’s guidance and projections, and that no superior proposal is expected to emerge based on adviser feedback and prior outreach. The board believes the Refresco deal offers the best value reasonably available to shareholders compared with continuing on a standalone basis, which carries execution risks for long-term plans.

More about SunOpta

SunOpta Inc., listed on Nasdaq and the TSX, is a North American supply chain solutions provider focused on serving food and beverage customers. The company operates in value-added supply, processing and related services, positioning itself within the broader packaged foods and beverage solutions industry across North America.

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