Duffar makes offer for Cossette
By Adnews Staff
Cosmos Capital has made an unsolicited offer to acquire all outstanding voting shares of Cossette. Cosmos is a private equity fund controlled by François Duffar, former vice-chair and president of Cossette. The fund also includes Georges Morin, former senior vice-president at Cossette. Duffar left the agency in May after 35 years there. Morin departed yesterday. Cosmos has offered $4.95 per share, which is 52% more than the most recent closing price of Cossette stock. The members of the Cosmos Group and their affiliates currently own approximately 18.7% of Cossette's outstanding shares. Cosmos has also formed an agreement with Burgundy Asset Management to acquire its 11% ownership stake. "We are seeking to work together with the board of directors and holders of multiple voting shares of Cossette to conclude a supported transaction that is compelling to the shareholders, clients and employees of Cossette," said Duffar. "The truly international character of our shareholder group, with North American and European investors, will allow us to strengthen Cossette's positioning and presence in international markets. Secondly, we will welcome enthusiastically the continued participation of the existing senior management team and, indeed, European and North American entrepreneurs who will join the leadership of the company. And lastly, we will build upon Cossette's legacy as a highly client-centric organization in which creativity, efficiency and innovation are the hallmark of a more integrated offering of the Company's products and services." Cossette announced that it has formed a special committee to consider the offer and review its options, which may include soliciting proposals from third parties.