INNOVA Shareholders Advised to Reject Pollard Banknote Purchase Proposal
Canadian company INNOVA Gaming Group based in Stoney Creek, Ontario, owned by gaming industry giant Amaya, has this week announced that its Board of directors has unanimously recommended that company’s shareholders should reject and not tender their common shares to the unsolicited offer from Pollard Banknote Limited.
Pollard Banknote Offer
Winnipeg-based lottery ticket printer Pollard Banknote Ltd. made their offer to purchase INNOVA formal earlier in April when the unsolicited $43 million bid was confirmed.
INNOVA Gaming Group special committee has not repeated its stance on the offer which came through Pollard Banknote Ltd.’s wholly-owned subsidiary Canada Inc. for all the outstanding Common Shares at a price of $2.10 in cash per share.
The board of directors has acknowledged the recommendation as Pollard Banknote’s offer was deemed insufficient and devaluing.
The special committee and the Board have carefully reviewed the Pollard Banknote Offer and Amaya Inc.’s support for the offer.”
“However, it is our view that the Pollard Banknote Offer does not adequately compensate shareholders for their Common Shares. As a result, INNOVA has undertaken a strategic review process to determine if any financially superior alternatives to the Pollard Banknote Offer are available and has entered into nine confidentiality agreements with interested parties to date.”, said Paul van Eyk, a member of the special committee of the Board.
The INNOVA shareholders are now advised to wait and determine whether the strategic review process will result in alternative transaction which will be financially superior and in the best interest of the company and all of its shareholders.
The Board has provided shareholders with a detailed report after considering a number of factors which led to a conclusion that Pollard Banknote’s offer should be rejected.
The directors’ circular containing the reasons for rejecting the proposal will be submitted to all of INNOVA shareholders and filed with the Canadian securities regulatory authorities, it was revealed.