TORONTO — Shareholders of Student Transportation Inc. (STI) on Thursday voted to approve a proposed purchase of the company by a group of investors.
STI, which is North America’s third-largest school bus contractor, announced in February that it had entered into a definitive agreement in which a company sponsored by Caisse de dépôt et placement du Québec (CDPQ) and Ullico Inc. would acquire all of STI’s outstanding common shares. Shareholders would receive US$7.50 per common share in cash.
CDPQ, an institutional investor that manages public pension plans and insurance programs in Quebec, has been invested in STI for 16 years, most of that time as the largest shareholder. Ullico is a labor-owned insurance and investment company based in Washington, D.C. The purchasing company that is sponsored by CDPQ and Ullico is called Spinner Can Acquireco Inc.
One of the closing conditions for the deal was approval of two-thirds of the votes cast by holders of common shares. That came in a special meeting of shareholders on Thursday, with about 98.5% of the votes cast in favor of the acquisition arrangement.
The acquisition, which is still subject to court approval and other customary closing conditions, is expected to be completed on or around April 27. After the deal closes, STI will be de-listed from the Toronto Stock Exchange and Nasdaq.
In other news, STI is celebrating its annual Employee Appreciation Week from April 23 to 27. Activities at STI locations across the U.S. and Canada will include breakfasts and luncheons, prize raffles, team-building games, and service awards. The company has more than 15,000 employees.