An Ontario Superior Court judge approved a Saudi firm's $3.3-billion takeover of Fairmont, Hotels & Resorts Inc. yesterday. Dissent debtholders withdrew objections when the deal's bond payout was increased.
Justice Peter Cumming issued the final order for the sale to affiliates of Kingdom Hotels International and Colony Capital LLC, saying it "looks like a good deal for all of the shareholders and the noteholders."
The group is led by Saudi Prince al-Waleed bin Talal.
Fairmont's shareholders approved the deal, valued at about $4.5 billion including debt, on Tuesday but several U.S. debtholders stood against it, saying they deserved an additional $34.2 million US from the deal.
At a hearing to try to convince the court of those claims, they withdrew their opposition after being offered an additional $675,000.
Fairmont owns 49 city centre and resort hotels, including The Fairmont San Francisco and The Fairmont Banff Springs.
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