Toronto-based online family information and entertainment provider Kaboose has entered into two separate agreements which together will effect the sale of substantially all of its asset
Toronto-based online family information and entertainment provider Kaboose has entered into two separate agreements which together will effect the sale of substantially all of its assets.
Following the completion of these two transactions, Kaboose intends on distributing the resulting net proceeds to its shareholders.
The company expects that such net proceeds will result in about CAD0.65 per share being distributed to shareholders in the months following completion of the transactions.
The two agreements will effect the sale of the company’s UK business, Bounty Group, to a company controlled by funds managed by Barclays Private Equity and the sale of the North American business to Disney Online, a unit of Disney Interactive Media Group.
The purchase price payable to Kaboose under the terms of the Bounty transaction is GBP54m or about CAD97m in cash less third-party debt outstanding on closing which is expected to be approximately GBP10m or approximately CAD18m.
The purchase price payable to Kaboose pursuant to the North American transaction is CAD23.3m subject to a working capital adjustment.
The Bounty transaction and the North American transaction are each expected to close within about 60 days.
