Lowes bid for Rona undervalues the preferred shares

LONDON, Feb. 26, 2016 /CNW/ - The Stirling Funds have been an investor in Canadian and Quebec companies for decades and today we are a significant holder of preferred shares of Rona Inc.  Stirling believes the $20 bid for preferred shares by Lowes to be opportunistic and an egregious attempt by them to circumvent the proper takeover provisions of the preferred shares.

Stirling intends to seek out other preferred shareholders to garner adequate remedies for all shareholders.

"It is unfortunate that Lowes, a large multinational US company, has chosen to "short-change" the retail investor, many of whom are based in Quebec", stated Gord Flatt, Stirling's CIO.

The Stirling Funds are value-focused investment funds based in London, England that hold a portfolio of diversified global securities principally in asset-rich companies trading at a discount to their underlying intrinsic value.

SOURCE The Stirling Funds

Gordon Flatt, Chief Investment Officer, The Stirling Funds, [email protected], [phone]