Pyxis Completes Takeover Bid of Tonko Shares

Pyxis Real Estate Equities Inc., which owns 1.7 million square feet of office and retail properties across Canada, completed its takeover bid for all shares of Tonko Development Corp. on March 15, 2002, for total proceeds of $51.5 million. The $4.10 per share offer, made through a wholly owned Pyxis subsidiary, expired on March 12, 2002. The shares tendered represent approximately 97.75 per cent of the outstanding shares. As the purpose of the offer was to acquire all the shares of Tonko, Pyxis exercised its statutory right of compulsory acquisition in accordance with Part 16 of Alberta’s Business Corporations Act to acquire the remaining shares.

Pyxis was represented by Jamie Davis, Dana Porter, David Glicksman, Ray McDougall and Michael Burkett of Stikeman Elliott in Toronto, as well as Alyson Goldman, Stephanie Uhlich and Harry Andersen in Calgary. Peter Anderson of Boughton Peterson Yang Anderson was British Columbia counsel to Pyxis. David Mydske of Borden Ladner Gervais LLP in Vancouver acted for a pension fund investor.

Tonko was represented by Andrew Grasby, Barclay Laughland, Crispin Arthur and Greg Liakopoulos of McCarthy Tétrault LLP in Calgary. James Archer and John Currie of McCarthy Tétrault in Toronto represented the lender, Toronto-Dominion Bank. Tonko’s independent committee of the board of directors was represented by Martin Lambert and Scott Bower of Bennett Jones LLP in Calgary.