Majority owner of Sun-Rype Products Ltd. proposing to take the company private

KELOWNA, B.C. – Sun-Rype Products Ltd. (TSX:SRF) says its majority owner Great Pacific Industries Inc. has proposed to take the company private in a deal that values it at about $81 million.

Great Pacific Industries Inc., a member of The Jim Pattison Group, and SRF Acquisition Inc., a wholly-owned subsidiary of Great Pacific, has offered $7.50 per share for the stake it does not already own.

Great Pacific and its affiliates currently own a 54 per cent stake in Sun-Rype or roughly 5.82 million shares.

Shares in Sun-Rype, which revealed the proposal after the close of markets Friday, closed down 29 cents at $5.76 on the Toronto Stock Exchange.

A committee of the independent members of the board of directors has been established to review the offer, which would require approval by a majority of the minority shareholders of Sun-Rype.

Sun-Rype makes and sells fruit-based juices and snacks.