Air Canada in talks to purchase Transat

Air Canada is in exclusive talks to purchase Transat AT Inc. for roughly $488 million.

Transat offers vacation packages, hotel stays and air travel under the Transat and Air Transat brands.

According to The Canadian Press, the Montreal-based company says it has agreed to a 30-day period of exclusive negotiations regarding a possible deal at a price of $13 per share.

Transat shares closed at $10.58 on the Toronto Stock Exchange on Wednesday.

The company’s board said it’s in the interests of Transat and its stakeholders to finalize negotiations on an exclusive basis with Air Canada.

Transat first revealed it was in talks to sell the company last month but did not reveal potential purchasers.