MONTREAL -- Montreal-based Genivar Inc.plans to adopt a new name and corporate structure, reflecting its growth into 35 countries with last year's acquisition of a U.K.-based engineering services company.
Genivar's head office will remain in Montreal but the public company's name will change to WSP Global and its corporate structure will be adjusted to enable regional operations to become distinct subsidiaries, the company announced Wednesday.
The proposal has the support of the Canada Pension Plan Investment Board and the Caisse de depot et placement du Quebec, which together own about 30.2 per cent of Genivar's outstanding shares.
However, the change requires approval by two-thirds of votes cast at a shareholder meeting scheduled for May 23, as well as approval by the Quebec superior court.
Genivar acquired WSP Group PLC last August for $442 million in cash, partially financed by a $225-million public offering and $197 million in private placements from the CPPIB and Caisse.
Since then, Genivar has become one of the companies embroiled in a Quebec corruption investigation.
It acknowledged in March that $525,000 in improper political contributions were made to get municipal contracts. A former Genivar vice-president testified at the Charbonneau commission that the contributions were made between 2005 and 2009.
