$18.50 offer for H&L shares

Hardware & Lumber gets offer from the new majority shareholders Argyle Industries to buy for cash the 33,764,719 ordinary stock units not already owned by the offeror. The purchase price is J$18.50 per stock unit, the same price Grace Kennedy sold their majority holding to the company for in December last year.
On December 30 Argyle Industries Inc. announced that it had acquired approximately 58.23% of the issued stock units of H&L Shares. As a result of the Offeror acquiring over 50% of the issued ordinary stock units of the Company it became obliged under the Securities Act to make the offer to the minority.
The offer was received by the Hardware & Lumber board who advices, that a special subcommittee of the Audit Committee to comprise directors unconnected to Argyle or to any other significant shareholder of H&L will be appointed. This sub-committee will have a mandate to propose for adoption a recommendation as to acceptance or rejection of the Offer for inclusion in a directors’ circular to be issued by the Board containing all relevant information required for the benefit of H&L’s stockholders, in compliance with all regulatory requirements.

The closing date for acceptance March 4. Hardware and Lumber reported profit after tax for the nine-months ended September 2015 of $64 million, 43.2 percent less than the $113 million for the same period in 2014 from revenues that were up 2.3 percent to $5.373 billion.
Directors of Argle are Joseph Bogdanovich Director of Downsound Records and Director of K.L.E Group, Marcus Richards Managing Partner, Greystone Equity Partners Inc. and Christopher Bovell Attorney-at-Law.