Canandaigua National Corp. is close to becoming a private company after accepting 9,658 shares of its common stock at $161 per share and reducing its shareholders to less than 1,200, the bank said in a filing Thursday.
“We are pleased at the success of the tender officer,” President and CEO Frank Hamlin III said in a statement. “We look forward to eliminating the costs of SEC reporting, and fully focusing our attention on our customers, communities, colleagues and shareholders.”
The parent of Canandaigua National Bank and Trust Co. and Genesee Valley Trust Co. announced in a July 1 SEC filing its intention to go private by buying back stock from holders of 99 shares or less as of June 26.
In addition to the per-share price of $161, the tender offer included a $50 bonus payment per shareholder.
The tender officer was designed to reduce the number of shareholders to fewer than 1,200, allowing the company to no longer be subjected to rules and regulations of the Securities Exchange Act of 1934.
The original deadline for the offer was Aug. 12, but was extended after some 6,290 shares had been tendered from 231 holders.
When it becomes private, Canandaigua National will no longer file periodic reports with the SEC, including quarterly earnings and annual reports, and will not be subject to SEC proxy rules or the reporting and audit requirements of public companies adopted under the Sarbanes-Oxley Act of 2002.
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