Stockholders Approve MOD-PAC Corp. Going Private Transaction
MOD-PAC Corp. announced that its shareholders approved, at a special shareholder meeting held last Friday, the going-private merger agreement under which Kevin T. Keane and Daniel G. Keane and their associates and affiliates will acquire the approximately 81.3 percent of the company's outstanding capital stock that they do not already own for $9.25 per share in cash.
The merger was approved by over 66-2/3 percent of the company's shareholders voting as a single class and by a majority of the issued and outstanding shares of the company's stock, when excluding the shares beneficially owned by Kevin T. Keane, chairman, Daniel G. Keane, president and CEO, and any other related shares. The total transaction is valued at approximately $24.6 million.
Daniel G. Keane, president and CEO, commented, "The transition to a private company will be seamless for our customers and employees. We will continue to deliver high quality product on time, on demand." The company's operations and headquarters will remain in Buffalo, N.Y.
The merger was expected to close on or about Sept. 30, 2013, subject to the satisfaction of customary closing conditions. Letters of transmittal allowing company shareholders of record to deliver their shares to the paying agent in exchange for payment of the merger consideration are expected to be distributed shortly after the closing.
For more information, visit www.modpac.com.