ogc wrote: ↑Tue Jun 04, 2019 8:44 am
"and convince the Quebec government to finance nearly one-quarter of the purchase."
I'm wondering if that means the government has agreed already or they need to agree still.
If the latter I would say that's hardly a solid offer.
The offer is conditional on Quebec providing about $120 million in financing AKA not a real offer. More like trying to blackmail the government into giving you $120 loan or Quebec people are going to be mad at you for a lot of layoffs.
How is that great for Transat pilots. They will be owned by a real estate company. They care about the hotel properties, not the airline.
Pilots will loose out on the sweet heart deal they would have received at AC. Maybe they will get an employee discount on their next use of a real estate agent.
snowcone wrote: ↑Tue Jun 04, 2019 10:16 am
How is that great for Transat pilots. They will be owned by a real estate company. They care about the hotel properties, not the airline.
Pilots will loose out on the sweet heart deal they would have received at AC. Maybe they will get an employee discount on their next use of a real estate agent.
Just grab the popcorn and watch. This was inevitable. Probably not the last either. You never pay your original offer. AC will just match it.
So far this offer doesn’t look like much to me. Especially after paying the breakup fee. The only thing that might sway that is if the Quebec government is motivated.
No idea on that front.
My odds are still highly favouring AC:AT.
Maybe even an angle here to break up Transat. Hotels to developer, airline to AC
snowcone wrote: ↑Tue Jun 04, 2019 10:16 am
How is that great for Transat pilots. They will be owned by a real estate company. They care about the hotel properties, not the airline.
Pilots will loose out on the sweet heart deal they would have received at AC. Maybe they will get an employee discount on their next use of a real estate agent.
Seems to me most TS pilots have been looking the gift horse in the mouth over this deal. At least on this site. They won’t be forced to endure AC anymore. Win win.
AT will not have to pay the breaking clause since in the fine print it stated if someone else came with an offer of more than 1$/share of what AC offered and that AC doesn’t match they are off the hook. Plus it’s not only 14$/share. It’s close to a billion dollars offer in value as they offered to swipe some debt as well in the deal.
My 2 cents is either CR really wants AT and will offer more or this was a timing move to delay an acquisition by ONEX forcing other players in quebec to pitch in. Both an AC deal or Mach deal is good for AT business, but its definitively 2 different routes. One is better for the airline part the other better for the tour operator part.
Mach offer seems to be conditional of a 120M$ loan from Qc government, and they admitted that the return on investment will take a while hence maybe hinting on privatizing AT in the short term. At least until it finalizes the hotel expansion.
