Lumenpulse To Be Taken Private By Founder F-X Souvay And Partners
Lumenpulse Inc. (TSX: LMP) (“Lumenpulse” or the “Company”), the parent company of Lumenpulse Group, a leading manufacturer of high performance, specification-grade LED lighting solutions, is pleased to announce that it has entered into an arrangement agreement (the “Arrangement Agreement”) pursuant to which a group led by Mr. François-Xavier Souvay, the Founder, President and CEO of Lumenpulse, several other existing shareholders of the Company and Power Energy Corporation, a wholly-owned subsidiary of Power Corporation of Canada (collectively, the “Consortium”), will acquire all of the issued and outstanding common shares of Lumenpulse by way of a plan of arrangement for $21.25 per share in cash.
The consideration offered to Lumenpulse shareholders represents a premium of 85.8% to the April 26, 2017 closing price of Lumenpulse shares on the Toronto Stock Exchange and a premium of 44.8% to the 90-day volume weighted average price of Lumenpulse shares on the Toronto Stock Exchange from December 15, 2016 to April 26, 2017.
The transaction has been approved unanimously by the Lumenpulse Board of Directors (with interested and non-independent directors abstaining) following receipt of the unanimous recommendation by a Special Committee of Lumenpulse composed entirely of independent directors (the “Special Committee”).
“This transaction is another important step for Lumenpulse, its shareholders, employees, agents and valued business partners,” said Mr. Souvay. “As a private company, we will have the resources and flexibility to continue our growth, increase our focus on innovation and the development of new products, and take another giant step towards becoming a true global leader in the high performance architectural specification grade lighting sector.”
“Power Corporation is pleased to be associating itself with François-Xavier Souvay. We have great confidence in his leadership. As the founder and CEO, François-Xavier and his talented entrepreneurial management team have grown this Montreal-based company into an important global player. Their philosophy is truly aligned with our long-term value creation model,” said Mr. Olivier Desmarais, Chairman of Power Energy and Senior Vice-President of Power Corporation of Canada.
Pierre Larochelle, CEO of Power Energy, said, “LED technologies have fundamentally changed the lighting industry, creating new global opportunities for innovators like Lumenpulse. This investment aligns with our strategic focus on sustainable technologies and is a natural fit for Power Energy.”
“Continuity was very important to me. As the founder and CEO of Lumenpulse, I am excited and motivated to continue to lead this great organisation. We are still full of energy and ideas and together with our new partner Power Energy, we are ready to take the company to the next level,” said Mr. Souvay. He added, “We are extremely honoured to have Power Energy as a partner going forward. They are a knowledgeable, long-term investor that shares our passion for innovation in sustainable lighting technology.”
For more information and details of the transaction, visit the company announcement here.