The boards of directors of the Fédération des caisses Desjardins du Québec and Caisse centrale Desjardins on Thursday announced special general meetings on Nov. 28 for members to vote on a proposal to amalgamate Caisse centrale with the Federation.
The proposal would combine all of the activities related to the issuance of securities of Desjardins Group under a single issuer, “resulting in a significant reduction in efforts relating to financial disclosures,” the Lévis, Que.-based co-operative financial group says in a news release.
Each of the meetings will be called to adopt an amalgamation by-law with a two-thirds majority of the votes cast.
If the proposal is adopted, the directors and management of the Federation and Caisse centrale expect the amalgamation to become effective Jan. 1, 2017, subject to obtaining regulatory approvals, in particular the approval by the Autorité des marchés financiers, Quebec’s securities regulator.
“The combination of the Federation and Caisse centrale activities and balance sheets under a single entity will contribute to make the co-operative more integrated and simplified for its members, clients, investors and partners,” Desjardins Group says,
The directors and management of the Federation and Caisse centrale “anticipate the amalgamation will have no material adverse impact on the activities of these two entities,” Desjardins Group adds.
Desjardins Group also announced that L.‑Daniel Gauvin, the general manager of Caisse central, has decided to take on new challenges and retire from Desjardins Group after a career that has spanned over 20 years with the co-operative financial group.
Gauvin plans to leave his position as of Jan. 1, 2017, the amalgamation date.