HNZ Group chief executive and PHI to acquire company and split up operations

MONTREAL – HNZ Group Inc. (TSX:HNZ) is proposing a $242.4-million deal for its CEO acquire the international helicopter company and then sell its offshore operations in Australia, New Zealand, Philippines and Papua New Guinea to PHI Inc.

Under the agreement announced Tuesday, HNZ shareholders will receive $18.70 per share — 43 per cent above Monday’s closing price at the Toronto Stock Exchange.

HNZ, which provides helicopter and related services, says its operations in Canada, the United States and Antarctica would remain with the company under the leadership of chief executive Don Wall.

The deal requires approval by a two-thirds majority vote by shareholders and a simple majority vote by shareholders excluding Wall.

It is also subject to court approval and other customary closing conditions.

HNZ shares closed up 15 cents at $13.05 on the Toronto Stock Exchange on Monday.