Couche-Tard takeover approved by Pantry shareholders

Shareholders of The Pantry Inc. have voted to approve a friendly takeover of the company by Alimentation Couche-Tard, a Quebec-based company with stores throughout the United States, Canada and northern Europe.

The deal to acquire more than 1,500 locations in 13 states values North Carolina-based Pantry at US$1.7 billion, with Couche-Tard paying US$36.75 cash per share.

The purchase price includes more than US$860 million to purchase Pantry's shares, with the rest going towards capital leases and debt.

The deal, which was supported by about 99 per cent of the votes cast at a meeting of Pantry shareholders on Tuesday, is still subject to customary closing conditions, including governmental and regulatory approvals.

The waiting period under the U.S. Hart-Scott-Rodino Act is scheduled to expire on Thursday.

Couche-Tard's network of convenience stores and filling stations operate primarily under the Couche-Tard and Mac's banners in Canada as well as Circle K throughout the United States.