The board of directors of holding company Harrowston Inc. has accepted an all-cash offer from TD Capital worth $210 million.
The offer beats a $160-million cash and stock offer from minority shareholder Unity Capital last month &$150; an offer that Harrowston had rejected as inadequate.
Harrowston's board has urged shareholders to accept the TD Capital offer. Harrowston, which trades on the TSE under the symbol HRW, closed Friday at $6.45 a share. The TD Capital offer is for $7.35 a share.
"I am delighted that TD Capital's CPEP Fund has agreed to acquire Harrowston,'' Harrowston chief executive Brent Belzberg said in a statement.
"Our investee companies...will also benefit from TD Capital's expertise and capital to enhance their strategies and growth."
Harrowston will put off its July 9 annual meeting to give shareholders time to tender their shares to the new offer.
Harrowston owns 44 per cent of Marsulex, an environmental services firm; a 34 per cent interest in Anchor Lamina, an automative took and die maker; 43 per cent of MLL Telecom of Britain; and a 50 per cent stake in Key Media, which counts Toronto Life among the many magazines it publishes.
Harrowston shares rose to $7.26, up 81 cents by the close of trading Monday. TD Bank shares were up 48 cents to $41.20.