Best Buy's Future Shop Takeover Bid Receives Approvals as Tender Offer Expires1 Nov, 2001 By: Hive News
Best Buy Co. Inc. announced Thursday the successful expiration of its tender offer for Burnaby, BC-based Future Shop Ltd. following the receipt of all necessary regulatory approvals.
A total of 32,784,000 common shares of Future Shop had been tendered as of 5 p.m., PST, on Oct. 31, 2001, under Best Buy's CDN $17.00 per share (approximately US $10.80 per share) cashtakeover bid for all outstanding common shares. This represents approximately 98% of Future Shop's common shares on a fully diluted basis.
Best Buy says it expects to take up all Future Shop common shares deposited under the takeover bid on Nov. 4, 2001. Payment for the common shares deposited is to be made by Computershare TrustCompany of Canada, the depositary for the takeover bid.
Best Buy says it intends to acquire those Future Shop common shares, which have not been deposited, as soon as possible through the exercise of its compulsory acquisition rights. As a result, on Nov. 4, 2001, Future Shop is expected to become a wholly owned subsidiary of Best Buy. Future Shop will be delisted from the Toronto Stock Exchange beginning on Nov. 5, 2001.
"We are pleased that the transaction was cleared before the beginning of the important holiday selling season," said Best Buy founder, chairman and c.e.o. Richard M. Schulze in a company press release. "Our focus now is on delivering to consumers the technology and entertainment gifts they want."