Independent Proxy Advisors Recommend Vote for Converge Acquisition by H.I.G. Capital Subsidiary

Converge Technology Solutions Receives Positive Proxy Advisory Recommendations

In a remarkable turn of events for Converge Technology Solutions Corp. (TSX: CTS), independent proxy advisory firms have signaled their support for the company's proposed acquisition plan by a subsidiary of H.I.G. Capital, 16728421 Canada Inc. The recommendation was made amid the backdrop of a compelling cash offer of CAD 5.50 per share for all outstanding shares of the company, paving the way for potential growth and opportunities.

The Partnership with H.I.G. Capital

H.I.G. Capital is a well-known private equity firm, and this acquisition signals a strategic partnership that aims to enhance Converge’s capabilities in the IT solutions industry. The advisory firms recognized the compelling nature of the offer, highlighting it as a substantial premium over the existing market price. This can be particularly appealing to shareholders who are focused on maximizing their return on investment.

As part of the due diligence process, the Institutional Shareholder Services Inc. (ISS) noted, “This case presents shareholders with an attractive cash offer that represents a significant premium to the unaffected market price, and the sale process appears credible.”

Such endorsements from reputable advisory services provide reassurance to investors about the soundness of the deal and highlight the robust valuation presented by H.I.G. Capital.

Recommendations from the Board of Directors

In addition to the independent advisors, the Converge Board of Directors has unanimously recommended that shareholders vote in favor of the arrangement. This decision comes after considerable deliberation and reflects the confidence the board has in the acquisition's potential to create value for stakeholders. The board, with the exception of one involved member, believes that this agreement will significantly benefit not just the company but also its shareholders.

Details regarding the acquisition, including shareholder voting instructions, are outlined in the management information circular dated March 10, 2025. Shareholders are encouraged to read this document thoroughly to understand the implications of their vote. The circular, along with related proxy materials, is accessible on the Converge profile on SEDAR+ and on the company’s website.

Voting Process and Meeting Details

Shareholders are urged to cast their vote ahead of the deadline set for April 8, 2025, at 11:00 AM Toronto time. This will ensure their opinions are counted in this pivotal decision-making process. A special meeting to discuss the arrangement will take place on April 10, 2025, at the same time, via audio webcast.

For any inquiries regarding voting procedures or assistance required, shareholders can contact Laurel Hill Advisory Group, the proxy solicitation agent for Converge. Their expertise in shareholder communication will aid in ensuring that all shareholder voices are heard and accounted for.

Conclusion

As Converge Technology Solutions moves closer to finalizing this acquisition, the backing from independent advisors and the board's strong recommendation signify a promising future for the company. This acquisition not only stands to enhance Converge’s offerings in innovative IT solutions but also highlights a strategic approach to business growth and development in the fast-paced tech landscape.

For additional information on Converge Technology Solutions and this acquisition, interested parties can visit convergetp.com. Engagement in this process ensures that shareholders at Converge are well-informed and in a position to maximize the potential benefits of the upcoming changes in corporate structure and strategic focus.