TMX board says it backs Maple Group takeover bid; asks shareholders to do same

TORONTO – TMX Group’s board of directors has decided to support a $3.8 billion takeover bid from Maple Group Acquisition Corp.

TMX chairman Wayne Fox said in a statement late Sunday that Maple offer “is in the best interests” of the company and its shareholders.

He advises shareholders to accept the Maple proposal.

The Maple Group is a consortium of financial companies and pension funds and had been in talks with the TMX since last summer.

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Backing of the takeover from the TMX board comes after the TMX initially sought a merger with the London Stock Exchange.

But that friendly merger was called off earlier this year because there was not enough TMX shareholder support in the face of the richer Maple bid.

TMX owns the Toronto Stock Exchange and the junior TSX Venture market as well as the Montreal Stock Exchange.

Maple Group investors include the Alberta Investment Management Corp., Caisse de depot et placement du Quebec, Canada Pension Plan Investment Board, CIBC World Markets (TSX:CM), Desjardins Financial, Dundee Capital Markets, Fonds de solidarite des travailleurs du Quebec, GMP Capital (TSX:GMP), National Bank Financial (TSX:NA), Ontario Teachers’ Pension Plan, Scotia Capital (TSX:BNS), TD Securities (TSX:TD) and Manulife (TSX:MFC).

Note to readers: This is a corrected story. The previous version used million instead of billion in the first paragraph