Cyrus Group of Funds updates report on holdings of common shares of Catalyst Paper Corporation
TORONTO, Dec. 4, 2012 /CNW/ - Cyrus Capital Partners, L.P. ("CCP") today announced that, on December 3, 2012, CCP acquired indirect control over an aggregate of 462,131 common shares ("Common Shares") of Catalyst Paper Corporation ("Catalyst Paper") as a result of completion of a private purchase and sale transaction (the "Private Purchase and Sale") pursuant to which Cyrus Opportunities Master Fund II, Ltd. ("CMF II") acquired 295,764 Common Shares and Cyrus Select Opportunities Master Fund, Ltd. ("CSOM") acquired 166,367 Common Shares of Catalyst Paper from a third party at a price of CDN$1.10 per Common Share.
Following completion of the Private Purchase and Sale, CCP now exercises
indirect control over an aggregate of 2,754,523 Common Shares,
representing approximately 19.13% of the issued and outstanding Common
Shares. Prior to completion of the Private Purchase and Sale, CCP
exercised indirect control over an aggregate of 2,292,392 Common
Shares, representing approximately 15.92% of the issued and outstanding
Common Shares. Ownership of the Common Shares indirectly controlled by
CCP is collectively held by CMF II, CSOM and other funds managed by
CCP, including Crescent 1, L.P. ("CRES"), Cyrus Opportunities Fund II, L.P. ("CLP II"), Cyrus Select Opportunities Fund, L.P. ("CSOP") and CYR Fund, L.P. ("CYRF" and, collectively with CMF II, CRES, CSOM, CLP II and CSOP, the "Funds"). The table below sets forth the number and percentage amount of
outstanding Common Shares owned by each of the Funds after giving
effect to the Private Purchase and Sale:
Number of Common Shares
Percentage of Outstanding
Common Shares Held
CCP is the investment manager of each of the Funds and exercises sole discretion over all investments decisions made by each of them.
For purposes of calculating the percentages of Common Shares owned by the Funds and indirectly controlled by CCP, CCP has assumed, based upon disclosure by Catalyst Paper in its Management's Discussion and Analysis as of November 13, 2012, that there were 14,400,000 Common Shares outstanding at the date hereof.
CCP acquired indirect control over, and CMF II, CSOM and the other Funds acquired ownership of, the Common Shares that are the subject of this report for investment purposes.
In connection with the investment by the Funds in the Common Shares, CCP may engage in communications with members of management and the board of directors of Catalyst Paper, other current or prospective shareholders, industry analysts, existing or potential strategic partners or competitors, investment and financing professionals, sources of credit and other investors with respect to Catalyst Paper. CCP intends to review the Funds' investment in Catalyst Paper on a continuing basis. Depending on various factors including, without limitation, Catalyst Paper's financial position, the price levels of the Common Shares, conditions in the securities markets and general economic and industry conditions, CCP's or the Funds' business or financial condition and other factors and conditions CCP deems appropriate, the Funds may in the future take such actions with respect to their investment in Catalyst Paper as CCP deems appropriate including, without limitation, seeking board representation, making proposals to Catalyst Paper concerning changes to the capitalization, ownership structure or operations of Catalyst Paper, acquiring additional Common Shares, and/or selling or otherwise disposing of some or all of their Common Shares. In addition, CCP may formulate other purposes, plans or proposals regarding Catalyst Paper or any of its securities to the extent deemed advisable in light of general investment and trading policies, market conditions or other factors or may change its intention with respect to any and all matters referred to above.
Neither the issuance of this news release in connection with the matters disclosed in this news release nor the anticipated filing by CCP of the corresponding "early warning" report required to be filed in accordance with applicable Canadian securities laws is an admission that an entity named or otherwise referred to in this news release owns or controls any described securities or is a joint actor with another entity named or otherwise referred to in this news release.
CCP's address and other contact information is set forth below. For further information, including to obtain a copy, once filed, of the "early warning" report required to be filed in accordance with applicable Canadian securities laws, contact CCP at the address specified below.
SOURCE: Cyrus Capital Partners, L.P.For further information:
Cyrus Capital Partners, L.P.
399 Park Avenue, 39th Floor
New York, NY 10022
United States of America
Attn: David A. Milich, Chief Operating Officer
Tel: (212) 380-5800