Court Approves Plan of Arrangement For Acquisition of Velan by Flowserve

MONTREAL, May 16, 2023 (GLOBE NEWSWIRE) -- Velan Inc. (“Velan”) (TSX: VLN) today announced that the Superior Court of Québec has issued a final order approving the previously announced plan of arrangement attached to the arrangement agreement made as of February 9, 2023 among Velan, 14714750 Canada Inc. (the “Purchaser”) and Flowserve US Inc., as amended by the first amendment to the arrangement agreement dated March 27, 2023 (the “Arrangement Agreement”) pursuant to which all of Velan’s issued and outstanding shares of Velan (the “Shares”) would be acquired for $13.00 per Share in cash by the Purchaser, a wholly owned subsidiary of Flowserve Corporation (the “Arrangement”).

The Arrangement remains subject to customary closing conditions, including the regulatory approvals and clearances. The completion of the Arrangement is expected to occur in the third quarter of 2023 (calendar year).

Further information regarding the Arrangement can be found in the management information circular filed by Velan on April 4, 2023, which is available at https://www.velan.com/en/company/investor_relations and under Velan’s profile on SEDAR at www.sedar.com.

ABOUT VELAN

Founded in Montreal in 1950, Velan Inc. is one of the world’s leading manufacturers of industrial valves. Velan Inc. is a family-controlled public company, employing approximately 1,650 people with manufacturing facilities in 9 countries. Velan Inc. is a public company with its shares listed on the Toronto Stock Exchange under the symbol VLN.

CAUTION REGARDING FORWARD-LOOKING STATEMENTS

Certain statements made in this news release may constitute forward-looking information or forward-looking statements within the meaning of applicable securities laws, including, but not limited to, statements with respect to the timing of various steps to be completed in connection with the Arrangement, the completion of the Arrangement and other statements that are not material facts. Often, but not always, forward-looking statements can be identified by the use of forward-looking terminology such as “may”, “will”, “expect”, “believe”, “estimate”, “plan”, “could”, “should”, “would”, “outlook”, “forecast”, “anticipate”, “foresee”, “continue” or the negative of these terms or variations of them or similar terminology.