Manitoulin Transport stood to acquire the Canadian operations of Vitran Corp. until earlier this week. What changed?
TransForce offered to pay $6.50 per share, beating out Manitoulin's offer of US $6.00, effectively starting a bidding war.
Vitran Corp. has said in a statement that TransForce's offer is a "superior" one, so now Manitoulin has five business days to come up with an even better proposal or step aside.
If Manitoulin does not make a better offer, the deal will be off as of Dec. 31 and Manitoulin will get $4 million from TransForce for terminating the contract, as agreed in the Manitoulin Agreement.
Aside from the price paid per share, the terms and conditions of TransForce's offer are the same as the ones between Vitran and Manitoulin Transport. TransForce currently owns 19.95 percent of Vitran's outstanding shares.