Montréal, April 2, 2014 – The Board of Trade of Metropolitan Montreal is delighted with the announcement made by the Osisko Mining Corporation and Yamana Gold Inc. about an agreement that will lead to Yamana’s acquisition of a 50% interest in Osisko assets. This transaction, if ratified by Osisko shareholders, will nullify Goldcorp’s unsolicited takeover bid, which put in jeopardy the Osisko decision-making centre in Montréal, along with its major economic spinoffs for Quebec and the city.
“This agreement is great news,” said Michel Leblanc, President and CEO of the Board of Trade. “Osisko is the largest gold producer in Quebec and has its head office in Montréal. It is the perfect example of a Quebec company that is growing rapidly in an important economic sector, the natural resources industry. Plus Osisko is a case in point of the structuring effects of having a head office in the city, whether in terms of the many high-calibre, well-paid jobs or the development of a large network of local suppliers, in the regions and in the city. All of this was in jeopardy with Goldcorp’s hostile takeover bid.”
“Current securities regulation in Quebec and Canada makes publicly listed companies vulnerable when targeted by a hostile takeover bid,” Michel Leblanc said. “We supported the reform of Quebec’s Business Corporations Act and made recommendations to better equip companies in these situations. But in the case of Osisko, these reforms would have arrived too late.”
“We applaud the business community’s efforts,” Michel Leblanc said. “Over the weeks, it became increasingly clear that we could find a solution that would keep the control of the company in Quebec. We applaud the leadership of Osisko and Yamana Gold management as well as the involvement of the Caisse de dépôt et placement du Québec and the CPP Investment Board in firming up this agreement.”
About the Board of Trade of Metropolitan Montreal
The Board of Trade of Metropolitan Montreal is made up of some 7,000 members. Its mission is to represent the interests of the business community of Greater Montréal and to provide individuals, merchants, and local businesses of all sizes with a variety of specialized services to help them achieve their full potential in terms of innovation, productivity, and competitiveness. The Board of Trade is Quebec's leading private economic development organization.
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Source:
Michelle LLambias Meunier
Advisor, Media Relations
Board of Trade of Metropolitan Montreal
Tel.: 514 871-4000, ext. 4042
mllambias@ccmm.qc.ca
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