Velan Inc.'s wholly-owned subsidiary, Velan Valves Limited, to sell French subsidiaries to Framatome SAS for up to US$198.4M

On January 14, 2025, Velan Inc. ("Velan") announced that its wholly-owned subsidiary, Velan Valves Limited, entered into a memorandum of understanding to sell 100% of the share capital and voting rights of its French subsidiaries, Segault SAS and Velan S.A.S, to Framatome SAS ("Framatome") for US$198.4 million. The transaction includes a purchase price of US$175.2 million and an intercompany loan transfer of US$23.2 million. Completion of the transaction is subject to shareholder approval, with Velan Holding Co Ltd. ("Velan Holding"), the controlling shareholder, having entered into a voting and support agreement with Velan.

Velan Holding, based in Montreal, Quebec, is a holding company specializing in the manufacturing of industrial valves, including cast and forged steel gate, globe, check, ball, triple-offset, and knife gate valves. The company operates through several subsidiaries to provide these products.

Framatome, headquartered in La Défense, Courbevoie, France, is a French company that designs, builds, and services nuclear power plants.

McCarthy Tétrault advised Velan Holding with a team led by Patrick Boucher that included Hadrien Montagne (Business).