Ritchie Bros.’ major U.S. acquisition opposed by two influential proxy advisers

for major expansion in the United States, making it more challenging for the Canadian company to pull off its planned US$6-billion takeover of a U.S. auto retailer.

The proposed takeover has remained hotly contested since, and is a rare transaction that initially drew rebukes from some shareholders of both the acquirer and the target. In a recommendation report Monday, ISS said “the potential risks associated with this transaction appear to outweigh the potential upside articulated by the board. Credibility is a particularly important consideration in this case, and it has been impaired by the shifting narratives around the long-term strategy and evergreen targets, as well as the miscalculated treatment of shareholders’ concerns during the assessment of revised terms.

Ritchie Bros. shares climbed three per cent higher by early afternoon Monday, while IAA’s dropped seven per cent. Ritchie Bros. shares have gained 22 per cent since their drop after the deal was announced in November, but they remain below where they were trading before news.

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Re/Max Canada president Christopher Alexander on housing red tape, the Greenbelt, and whether Toronto homes are just for the richIf there’s anything Re/Max Canada president Christopher Alexander finds encouraging about Canada’s tumultuous housing situation, it’s that plenty of would-be homeowners are still stepping up to the plate. Ya I'm not subscribing to that news. Looks like free advertisement for a rich man to me. Someone should tell those customers to hang around a few more months because there is more shave off of prices. I thought the feds were supposed to implement more transparency. How about they implement capping listing % too. 5-6% to sell a commodity is ridiculous. Or remove some of their taxable benefits which contribute to climate change, and waste Amazing, a trend makes him filthy rich and he approves of it. Shocking.
Source: TorontoStar - 🏆 60. / 55 Read more »