Shoppers Drug Mart sharheolders vote in favor of Loblaw bid
On Thursday, Shoppers Drug Mart Corp shareholders voted in favor of Loblaw Co Ltd's buyout bid. The offer was to acquire the biggest pharmacy chain in Canada for CAD12.4 billion. A special meeting was held to vote for the deal with Loblaw. An overwhelming 99.89% votes were casted in favor of the buyout bid, said a Reuters report.
The pending transaction was said to be t he biggest merger deal in Canada this year. The deal came at a time when Canadian grocers face increasing pressure from competitors like Wal-Mart Stores Inc and Target Corp.
The deal was expected to be completed by the end of the first quarter of 2014. The transaction was also subject for approval by the competition bureau of Canada. After the Thursday meeting, the application for the deal would be submitted to the bureau.
Meanwhile, local rival Empire Co Ltd. acquired Safeway Inc's Canadian assets for UDS5.7 billion, setting a strong foothold as Canada's No.2 grocer.