Air Canada reaches deal to acquire Air Transat parent

Air Canada has reached a definitive agreement to acquire Air Transat's parent, with an unanimous vote in favour of the deal by Transat's board. Air Canada's cash purchase of outstanding Transat stock at C$13 (US$9.90) per share is estimated at $520m and still requires approval from regulators and shareholders. The two companies expect to close the deal in "early 2020". "Travellers will benefit from the merged companies' enhanced capabilities in the highly competitive, global leisure travel market and from access to new destinations, more connecting traffic and increased frequencies," says Air Canada CE Calin Rovinescu. Transat decided on Air Canada's proposal at the advice of a special committee of independent directors it formed to evaluate the bid formally submitted in May. <br/>