Majority shareholders close Atlas Corp. Buyout with ONE ab Ship’s crew

Atlas Corp. (NYSE: ATCO) has completed its merger with Poseidon Acquisition Corp. announced, a consortium of Atlas’ controlling shareholders, consisting of affiliates of Fairfax Financial Holdings Limited, the Washington family and David Sokol, the chairman of Atlas, plus Ocean Network Express (EINS).

The merger agreement, dated October 31, 2022, provides for Poseidon to acquire all of Atlas’s outstanding common stock not held by Fairfax, Washington or Sokol. Each common share has been converted into the right to receive $15.50 per share in cash.

At the time of the initial tender offer last August, Fairfax, the Washington family and David Sokol owned or controlled approximately 68% of Atlas’ fully diluted outstanding common stock.

Atlas Corporation’s portfolio includes Seaspan Corporation, a container ship leasing company, and APR Energy, which provides portable power plants for underserved markets and industries. Seaspan’s fleet consists of 132 vessels with a total capacity of 1,147,980 TEUs and a further 67 vessels under construction, bringing the fleet’s total capacity to 1,959,380 TEUs, on a fully delivered basis.

Atlas Corp. also confirmed payment of a dividend of $0.125 per share for the first quarter to common shareholders on March 31, 2023. Upon the completion of the merger, Atlas filed to suspend trading of its common stock on the New York Stock Exchange (NYSE), resulting in its delisting led. However, Atlas preferred shares continue to trade on the NYSE.

The merger and delisting are classified as “make-whole fundamental changes” under the exchangeable senior debentures agreement due 2025, which includes Atlas Corp., Seaspan Corporation and The Bank of New York Mellon.

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