* Sterling, CPP Board to pay C$8 per Livingston unit
* Livingston says trustee board supports deal
* Units up as much as 22 pct
(Adds conference call details, updates stock movement)
Oct 8 Canadian logistics services provider
Livingston International Income Fund LIV_u.TO agreed to be
taken private by Canada Pension Plan Investment Board and
Sterling Partners in a deal valued at about C$225.3 million
Under the deal, Livingston's unit holders would receive C$8
per unit in cash, representing a premium of 20 percent based on
the Wednesday's closing price of the units. Livingston had 28.2
million units outstanding as of Aug. 7.
Livingston, which was operating in a challenging
environment, hurt by weakening trade volumes in the United
States and Canada, said the deal follows its review of
strategic alternatives and a confidential auction process.
"Going private is a good thing for company," Chief
Executive Peter Luit said on a conference call, adding that
following the deal the company would benefit from strong
financial position of its acquirers.
He also mentioned that the trust would contact its top
clients in the United States and Canada and explain the deal,
aiming to retain business.
Canada Pension Plan Investment Board, which owns 45 percent
of the fund investments in Canada, recently said it would
always maintain a very strong component in the country but was
also looking at buying opportunities spawned by the global
Sterling Partners, a U.S.-based private equity firm will
own 60 percent of the trust, while CPP Board will own the rest
after the completion of the deal, the trust said on a
Livingston also said the deal was subject to approval from
two-thirds of the unit holders.
The trust said the deal, which is expected to close in
December, has the unanimous support of its board of trustees.
Livingston units were up 22 percent at C$8.12 Thursday
afternoon on the Toronto Stock Exchange.
($1=1.055 Canadian dollar)
(Reporting by Ashutosh Joshi in Bangalore; Editing by Anne
Pallivathuckal and Anil D'Silva)