Labopharm Obtains Interim Court Order for Plan of Arrangement
LAVAL, QC, Aug. 29, 2011 /CNW/ - Labopharm Inc. ("Labopharm")(TSX: DDS) today announced that the Superior Court of Québec has issued on Friday, August 26, 2011 an interim order authorizing Labopharm, among other things, to call, hold and conduct a special meeting of its shareholders (the "Meeting") to consider and, if deemed advisable, pass a special resolution (the "Arrangement Resolution") approving an arrangement under section 414 of the Business Corporations Act (Québec) pursuant to which Chimigen Inc. (the "Purchaser"), a wholly-owned subsidiary of Paladin Labs Inc. ("Paladin")(TSX: PLB), will acquire all of the issued and outstanding common shares of Labopharm (the "Arrangement") at a price of $0.2857 per share in cash. On August 17, 2011, Labopharm announced it had entered into a definitive agreement setting out the terms and conditions of the Arrangement.
The Meeting to approve the Arrangement will be held at Labopharm's head office at 480 Armand-Frappier Boulevard in Laval, Québec, Canada on Wednesday, October 5, 2011 at 10:00 a.m. (Montreal time). The record date for determining the holders of common shares of Labopharm that will be entitled to receive notice of and to vote at the Meeting is August 30, 2011. The Arrangement Resolution approving the Arrangement must be approved by not less than two-thirds of the votes cast by shareholders represented in person or by proxy at the Meeting. The board of directors of Labopharm has recommended that shareholders vote in favour of the Arrangement Resolution.
The Notice of Special Meeting of Shareholders, management information circular, forms of proxy, and letters of transmittal with respect to the Arrangement are expected to be mailed to holders of common shares of Labopharm in the coming days. Copies of these documents will be available for viewing on the System for Electronic Document Analysis and Retrieval (SEDAR) website at www.sedar.com.
About Labopharm Inc.
Labopharm is focused on realizing value from its commercialized products and creating additional value by leveraging its emerging technology platforms to develop increasingly differentiated products. For more information, visit www.labopharm.com.
About Paladin Labs Inc.
Paladin Labs Inc., headquartered in Montreal, Canada, is a specialty pharmaceutical company focused on researching, developing, acquiring or in-licensing innovative pharmaceutical products for the Canadian and world markets. With this strategy, a focused national sales team and proven marketing expertise, Paladin has evolved into one of Canada's leading specialty pharmaceutical companies. Paladin's shares trade on the Toronto Stock Exchange under the symbol PLB. For more information about Paladin, please visit the Company's web site at www.paladinlabs.com.
This press release may contain forward-looking statements and predictions. These forward-looking statements, by their nature, necessarily involve risks and uncertainties that could cause actual results to differ materially from those contemplated by the forward-looking statements. Both Labopharm and Paladin consider the assumptions on which these forward-looking statements are based to be reasonable at the time they were prepared, but cautions that these assumptions regarding the future events, many of which are beyond the control of Labopharm/Paladin and their subsidiaries, may ultimately prove to be incorrect. Factors and risks, which could cause actual results to differ materially from current expectations, are discussed in the annual report as well as in Labopharm's/Paladin's Annual Information Form for the year ended December 31, 2010. Labopharm and Paladin disclaim any intention or obligation to update or revise any forward-looking statements whether as a result of new information or future events and except as required by law. For additional information on risks and uncertainties relating to these forward-looking statements, investors should consult Labopharm's/Paladin's ongoing quarterly fillings, annual report and Annual Information Form and other fillings found on SEDAR at www.sedar.com.For further information:
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