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Transat continues to back Air Canada bid following comments by Peladeau

An Air Transat plane is seen as an Air Canada plane lands at Pierre Elliott Trudeau International Airport in Montreal. THE CANADIAN PRESS/Ryan Remiorz

Transat A.T. Inc. repeated its recommendation that shareholders support a takeover offer for the company by Air Canada after Pierre Karl Peladeau hinted he may make an offer.

The travel company says it has never received an offer from Peladeau or any of his business associates to acquire Transat.

READ MORE: Pierre Karl Péladeau dangles offer for Transat if Air Canada deal can’t take off

Transat shareholders are set to vote on Air Canada’s offer of $18 per share on Friday. The company says there is currently no concrete alternative transaction on the table.

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On Monday, Peladeau, who said he owns about a 1.6 per cent stake in Air Transat’s parent company, said he plans to vote against the Air Canada bid because it is “contrary to the public interest.”

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WATCH BELOW: Air Canada in exclusive talks to takeover Air Transat

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Air Canada in exclusive talks to takeover Air Transat

The businessman and former politician says he has “gathered around him strong and established partners of international renown” in order to submit a possible proposal he said would be fair, without mentioning a price.

READ MORE: Air Canada raises Transat purchase offer, secures support of largest stakeholder

Transat’s largest shareholder with a 19.3 per cent stake, investment firm Letko, Brosseau and Associates, has said it would support Air Canada’s offer, after earlier rejecting it when the bid was $13 per share.

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