Stephenson’s Rental Services income fund and EdgeStone Capital Partners have entered into a support agreement where EdgeStone has agreed to purchase all of Stephenson’s outstanding units for $6.875 per unit. A wholly owned subsidiary of EdgeStone will publish the offer in a take-over bid circular to be mailed out to shareholders during mid-June.
Stephenson’s board of trustees has determined the proposal is fair and the transaction is in the fund’s best interest, as well as that of the shareholders. Therefore, the board has unanimously recommended that shareholders cash in their units.
The proposal represents a premium of approximately 30 percent the closing price of the fund’s units on January 4, the day prior to the announcement of the fund’s strategic review.
