Aimia's Aeroplan Sale Price Goes Up

Loyalty analytics company Aimia has announced that the final price for the sale of its Aeroplan loyalty program to Air Canada has increased to $516m, after the finalization of all financial adjustments following the deal's January close.

Last August, Aimia agreed to sell its Aeroplan business to a consortium led by the business's original owner Air Canada, for $450m in cash, plus the assumption of approximately $1.9bn of Aeroplan Miles liability. The figure then increased to $497m after original adjustments.

However, Aimia will now receive a total of $516m, which includes a final payment of $19m to complete the transaction; with the post-closing adjustments stemming mainly from favourable working capital relative to the target working capital set out in the agreement.

According to the Canada Revenue Agency, following an audit for the 2012 and 2013 taxation years, the program owes $11m on top of the $24m already handed over. Aimia says it plans to file a notice of objection in the coming weeks. Aimia, which is led by CEO Jeremy Rabe (pictured), is online at: www.aimia.com .