Onex signs agreement to buy WestJet in deal valued at $5B, including debt

Onex will pay $31 per share for WestJet, which will continue to operate as a privately held company

Onex Corp. has signed a friendly deal to buy WestJet Airlines Ltd. in a transaction it valued at $5 billion, including assumed debt.

Under the agreement announced Monday, Onex will pay $31 per share for WestJet, which will continue to operate as a privately held company.

Shares in the airline closed at $18.52 on Friday.

WestJet founder and chairman Clive Beddoe said Onex is an ideal partner for the airline.

“I am particularly pleased that WestJet will remain headquartered in Calgary and will continue to build on the success that our 14,000 WestJetters have created,” Beddoe said in a statement.

The deal comes after Onex approached the airline in March.

“WestJet is one of Canada’s strongest brands and we have tremendous respect for the business that Clive Beddoe and all WestJetters have built over the years,” said Tawfiq Popatia, a managing director at Onex.

Completion of the transaction is subject to a number of conditions, including court, regulatory and shareholder approvals.

WestJet’s board of directors has unanimously recommended shareholders vote in favour of the deal at meeting expected to be held in July.

The deal is expected to close in the latter part of 2019 or early 2020.

The Canadian Press


Like us on Facebook and follow us on Twitter.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Considerations made to keep Crofton drive-by birthday celebrations going

Trucks will tone it down or not use horns at all to bring some joy to kids and older folks

COVID-19 birthday drive-by celebrations snuffed out in Crofton

Bylaw officer visit with threats of a fine mean parade trucks taken off the road

Long-awaited opening for Chemainus Public Market

All components not up and running just yet, but will be soon

Void of summer events going to be felt in Chemainus

CBIA cancels Classics Car Show and Canada Day celebrations

List of businesses and services now open in Ladysmith

The Chronicle is compiling on ongoing list of businesses in Ladysmith that are now open

VIDEO: A Vancouver Island black bear takes weekend nap in eagle tree

Videos captured by Terry Eissfeldt shows the bear arriving Saturday night and sleeping in on Sunday

Facing changes together: Your community, your journalists

We’re asking you to lock arms with us, as we look to better days ahead

About 30% of B.C. students return to schools as in-class teaching restarts amid pandemic

Education minister noted that in-class instruction remains optional

Trudeau avoids questions about anti-racism protesters dispersed for Trump photo-op

Prime minister says racism is an issue Canadians must tackle at home, too

RCMP, coroner investigate ‘unexpected deaths’ on Salt Spring Island

Two dead, police say there is no risk to the public

Summer tubing ban on Cowichan River lifted

The Tube Shack opening on June 27

Most Read