CHICAGO — Molson Coors Beverage Co. is recommending stockholders reject a mini-tender offer made by TRC Capital Investment Corp.
TRC Capital Investment, Toronto, made a mini-tender offer to purchase up to 2 million shares of the company’s Class B common stock for $52.95 per share in cash—about 4.2% lower than the $55.29 per share closing price for the stocks on the New York Stock Exchange as of Feb. 21.
Molson Coors said it does not endorse the mini-tender offer and recommends that stockholders do not tender their shares. Those who have already tendered shares can withdraw them prior to the expiration of the offer on March 24, Molson Coors said.
The U.S. Securities Exchange Commission (SEC) has cautioned investors that some bidders make mini-tender offers at below-market prices “hoping that they will catch investors off-guard if the investors do not compare the offer price to the current market price,” Molson Coors said in a statement.
“Stockholders should obtain current market quotations for their shares of Class B common stock, consult with their broker or financial adviser and exercise caution with respect to TRC Capital’s mini-tender offer,” the company said.
Molson Coors, Chicago, is one of the world’s largest brewers. Its brands include Coors Light, Coors Banquet, Miller Lite, Molson Canadian, Carling, Staropramen, Leinenkugel’s Summer Shandy, Blue Moon Belgian White, Hop Valley, Creemore Springs and Crispin Cider. The company went through a restructuring in late 2019.
Members help make our journalism possible. Become a CSP member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.