Thursday, October 1, 2009

My Guess Is Mr. Rowe Will Win This One....

For those of you who aren't aware Vector Aerospace has a significant operating division in Slemon Park that is run by a very capable former bureaucrat in Brian Thompson.... and if you have a look at the following story the Company is now “in play” a term used when someone is trying to take over the Company.... it will be very interesting to see what happens to this Company following what appears to be a "dust up" among shareholders.... my guess is that the response by Vector's Board to shun IMP's offer is not going to sit well with Kenneth Rowe who is IMP's owner ... in fact it's quite surprising that existing management wouldn't recognize IMP's strong ownership of over 37% of the Company and the proven capabilities of Mr. Rowe as a seasoned businessman who in my view will surely toss away any of those who get in his way as he'll probably ultimately get control... in any event I’m pretty sure Brian will survive and it might be a great opportunity for the Summerside operation to continue to grow as that is Mr. Rowe’s track record....
Vector Aerospace seeking alternatives to IMP Group offer
The Canadian Press
TORONTO — Vector Aerospace Corp. (TSX:RNO) said Tuesday a special committee of independent directors does not believe a move by its largest shareholder to increase its stake is in best interests of the company and is exploring alternatives. Vector said the move by IMP Group Ltd. to make an all-cash offer to acquire up to six million Vector shares would allow the private Halifax-based aerospace investment company to acquire control of the corporation and reduce liquidity for shareholders. The company also noted the floor price of $6.52 set out in the proposed offer is below the closing price of Vector’s shares on the 30 trading days preceding Sept. 25.Vector shares closed up 18 cents at $6.90 on the Toronto Stock Exchange on Tuesday. IMP Group currently holds about a 37.3 per cent stake in Vector or about 14 million shares. Vector also announced Tuesday that it has signed a deal to raise $45 million in an issue of shares that will be used to repay debt and for general corporate purposes. The company said it has signed an agreement with a syndicate of underwriters led by TD Securities and Dundee Securities to sell 7.1 million shares at $6.35 per share. Vector has also granted the underwriters an over-allotment option to purchase up to an additional 1,065,000 shares. The company currently has about 38 million shares outstanding.Vector Aerospace has aviation repair and overhaul services in Canada, the United States, the United Kingdom and Africa.

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