Wireless Matrix Provides Update to Shareholders
SEATTLE, WA, Aug. 20, 2013 /CNW/ - Wireless Matrix Corporation (NEX: WRX.H) ("Wireless Matrix" or the "Company") wishes to provide its shareholders with an update as to the status of its previously announced liquidation and dissolution.
The Company is currently awaiting receipt of final tax clearance certificates from the Canadian taxation authorities, following which it expects to be able to proceed with a second and final cash distribution to the holders of its common shares as a return of capital. Once such cash distribution has been completed, the Company intends to proceed with its dissolution by filing Articles of Dissolution with the Director under the Canada Business Corporations Act. Further details regarding such distribution and dissolution will be provided in due course.
Given the impending dissolution of the Company, the fact that the Company has ceased to carry on any operating business since the sale of its former operating subsidiary Wireless Matrix USA Inc. in March 2013, and the fact that the remaining assets of the Company consist of cash in an amount which is less than US$3,300,000 following the distribution of over US$47 million to its shareholders as a return of capital in April 2013, the Board of Directors of Wireless Matrix has decided to not file and deliver to its shareholders the audited annual financial statements and related management's discussion and analysis ("MD&A") for its financial year ended April 30, 2013, which are otherwise required to be filed by August 28, 2013 under applicable Canadian securities laws. The Board has made this decision in the interests of avoiding the significant expense of preparing such audited financial statements and thereby maximizing the amount of cash remaining for distribution to its shareholders. For the same reasons, the Company also does not intend to file and deliver any future interim financial statements and related MD&A.
"Since the sale of Wireless Matrix USA Inc., management has been solely focused on liquidating the Company and preserving its remaining cash assets as best as possible in order to maximize the amount of the distribution to shareholders," said Richard Myers, Chief Executive Officer of Wireless Matrix. "We believe that given the current status of the Company and its impending dissolution, producing financial statements would not provide any meaningful information to our shareholders or the market and would therefore represent an unnecessary expense to the Company. We will report back to our shareholders as expeditiously as possible with respect to the final distribution and dissolution of Wireless Matrix."
Forward Looking Statements
General information regarding the Company set forth in this document, including management's assessment of the Company's future plans as regards the liquidation and dissolution of the Company, contains forward-looking statements that involve substantial known and unknown risks and uncertainties, some of which are beyond the Company's and management's control, including, but not limited to, the obtaining of final tax clearance certificates and the ability of the Company to proceed on a timely basis with the settlement of its obligations and liabilities. The Company's actual results, performance or achievement could differ materially from those expressed in or implied by these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated to occur or transpire from the forward-looking statements will occur or transpire in the manner intended or at all. All data presented herein should be read in conjunction with the Company's regulatory filings with the appropriate Securities Commissions and on SEDAR, which filings also disclose further risks and uncertainties pertaining to the Company. These filings, including the Company's most recent Annual Information Form and the Company's Management Proxy Circular dated January 24, 2013, are located under the Company's profile at www.sedar.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Wireless Matrix CorporationFor further information:
The Equicom Group
416-815-0700 ext 278