- Ignite’s board of directors has approved a proposed “going private transaction”
- Consolidation subject to receipt of requisite shareholder approval at Ignite’s upcoming annual general and special meeting of shareholders
- The Consolidation Price represents a premium of 26 per cent to the closing price of C$0.49 on July 18, 2022
- The company says has sufficient funds to complete the Consolidation
- Ignite International Brands, Ltd. (BILZ) is up 22.45 per cent in early trading, at C$0.60 as of 12:44 pm EDT
Ignite International Brands (BILZ) has announced a proposed “going private transaction.”
The transaction would involve consolidating Ignite’s outstanding subordinate voting shares on the basis of one post-consolidated subordinate voting share for each 100,000 pre-consolidated subordinate voting shares.
The Consolidation is subject to shareholder approval and receipt of applicable regulatory approvals.
All fractional shares resulting from the consolidation will be cancelled, and holders will receive a cash payment of C$0.62 for each cancelled share held.
The consolidation price represents a premium of 26 per cent to the closing price of C$0.49 on July 18, 2022, being the last closing price of the company’s Subordinate Voting Shares traded on the Canadian Securities Exchange (CSE) prior to the announcement of the consolidation.
According to Ignite, the company “has sufficient funds to complete the consolidation.”
Dan Bilzerian would beneficially own 199,757,600 shares or 64.92 per cent of the issued and outstanding subordinate voting shares. Three other shareholders (Veritas Investments, Ltd., Vulcan Enterprises SKN, Ltd. and Atlas Investments, Ltd.) would beneficially own an aggregate of 66,621,000 or 23.93 per cent of the issued and outstanding subordinate voting shares of the company.
Once the consolidation is completed, Ignite intends to apply to have its subordinate shares delisted from the Exchange and apply to cease to be a reporting issuer with the applicable securities regulatory authorities.
Ignite International Brands, Ltd. (BILZ) is up 22.45 per cent in early trading, at C$0.60 as of 12:44 pm EDT.