Lino Saputo’s older brother is selling almost his entire stake in Montreal dairy processor Saputo, a transaction valued at $1.1 billion.
Published at 9:10 a.m.
Francesco “Frank” Saputo is selling 40 million of the 42.5 million shares he controls in what is called “general estate planning.”
The shares sold by Frank Saputo were purchased by his brother Lino and by the Caisse de dépôt et placement du Québec.
Companies controlled by Lino Saputo thus paid $740 million to acquire 26.5 million of the 40 million shares sold, while the Caisse purchased $378 million worth of Saputo shares, i.e. 13 .5 million shares.
Frank Saputo sells his shares at a unit price of $27.96.
Saputo shares ended the last week at $28.93 on the Toronto Stock Exchange. The stock is up 8% this year.
Frank Saputo’s stake in Saputo, which was 10% before the transaction, slipped to less than 1% after the transaction.
The Caisse’s stake in Saputo will now total nearly 4.5%.
“This investment is part of our strategy which aims to promote the growth of North American and international champions, while generating profits in Quebec,” comments Kim Thomassin, first vice-president and head of Quebec at the Caisse, in a press release. deposit.
The Caisse has been a shareholder of Saputo for nearly 30 years. The Caisse’s first investment in Saputo dates back to 1997.
The Saputo company was founded in Montreal in the 1950s. Saputo’s turnover reached $17.3 billion during the company’s last fiscal year.
Following the transaction, Lino Saputo is now the sole beneficial owner of 10% or more of the company’s issued and outstanding shares.
