The takeover of Transat by Air Canada will be cheaper, as only five Canadian dollars will be paid per share due to the drop in airline values ​​due to the corona pandemic. The boards of directors of the two companies came to an agreement and recommended that Transat shareholders accept the offer.

They can choose between payment in cash or in the form of Air Canada shares at a rate of 0,2862 AC shares per Transat share. The total volume of the proposed transaction will drop to approximately 190 million Canadian dollars. This is subject to various permits that have yet to be obtained. The closing is expected in late January or early February 2021.

“COVID-19 has had a devastating impact on the global aviation industry and has had a significant impact on the value of airlines and aerospace facilities. Nonetheless, Air Canada intends to complete the acquisition of Transat at a reduced price and under changed terms, ”said Calin Rovinescu, President and Chief Executive Officer of Air Canada. "This combination will stabilize Transat's business and its stakeholders, and enable Air Canada and the Canadian aviation industry to step up as they enter the post-COVID-19 world."