Canam Group Inc. (CAM.TO) announced the sale of its 50% investment in Amcan-Jumax Inc. to Boulonnerie de Montréal Inc. for a consideration of approximately $8.10 million.
The Corporation cashed an amount of $5.60 million at the close of the transaction and an amount of $500,000 has been placed in trust for adjustments to the sale price.
The balance of the sale price, i.e. $2 million , will be cashable over a 40-month period at a rate of $50,000 per month. A gain on disposal of investment estimated at $2 million will be recognized in the second quarter of 2012. Amcan-Jumax Inc. is a structural bolts distributor catering to the steel construction industry. The Corporation's co-shareholder in Amcan-Jumax also sold its 50% investment.
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