Aimia Inc. soared Aug. 21 after a group led by Air Canada agreed to buy its Aeroplan business for C$450 million ($345 million) in cash, ending a takeover battle for one of Canada’s most popular loyalty programs.
Air Canada and its banking partners sweetened their bid for Aeroplan, winning over Aimia’s board and an activist shareholder that was seeking a higher price. Air Canada initially made a C$250 million unsolicited offer, and later boosted that to C$325 million. Air Canada and its backers will also assume C$1.9 billion of Aeroplan Miles liabilities, the companies said in a statement. Aimia’s shares rose as much as 20 percent before settling at C$4.35 as of 1:33 p.m., for a gain of 13 percent. Air Canada jumped the most in 11 months.
