Shareholders of a beleaguered Winnipeg grain company have approved the sale of its special crops division.
Legumex Walker announced that it has received the two-thirds majority it needed to proceed with the sale to the Scoular Company.
Almost 100 percent of the 12,394,245 shares voted by ballot, proxy or in person approved the sale, which represents 76 percent of the firm’s outstanding shares.
All regulatory approvals have been obtained, and the sale should be completed by Nov. 30.
The company originally estimated the sale would net shareholders $2.50 to $2.75 per share, but that was reduced to $1.69 to $1.98 per share because of smaller than expected working capital.
The company said there is a risk that the return could be even lower, depending on how everything shakes out.
Shareholders also approved the voluntary liquidation and dissolution of the company.
The firm is still attempting to sell its stake in the Pacific Coast Canola plant in Warden, Washington. That sale will not produce any returns for shareholders after the plant’s debts are serviced.
sean.pratt@producer.com
