Wednesday, June 18, 2008

BCE's fate in court's hands

OTTAWA — Guy Du Pont had 40 minutes to sell Canada's largest takeover to the country's highest court Tuesday, and it wasn't an easy ride.

BCE Inc.'s battle to save its $35-billion takeover had taken it all the way to the Supreme Court of Canada, and for its last say the company gave the floor to the Montreal constitutional and corporate lawyer, a new recruit to its large legal team, to see whether he could get the deal back on track.

Mr. Du Pont started his argument with the simple premise that the company's board of directors properly exercised their duties and had not trampled bondholders in approving the richest deal from bidders when it agreed to sell the company last year.

Within minutes, however, Mr. Du Pont was fending off withering remarks and challenging questions from a number of robed judges, including Chief Justice Beverley McLachlin.

No comments: