MONTREAL, June 13, 2011 /CNW Telbec/ - iWeb Group Inc. (TSXV: IWB) ("iWeb"), a global provider of Internet hosting services and IT
infrastructure, announces that its shareholders (the "Shareholders") today approved, at a special meeting (the "Meeting"), iWeb's previously-announced amalgamation (the "Amalgamation") under a merger agreement with 7807201 Canada Inc. and 7807210 Canada
Inc., two corporations controlled directly or indirectly by Novacap
Technologies III, L.P., Caisse de dépôt et placement du Québec and an
investment vehicle affiliated with Bank Street Capital Partners and
certain of their affiliates.
The Shareholders also approved the delisting of iWeb's common shares
(the "Shares") from the TSX Venture Exchange.
The Amalgamation was approved at the Meeting by 99.99% of the votes cast
by all shareholders and by 99.98% of the shareholders other than
interested parties in the Amalgamation. No Shareholders exercised their
Pursuant to the Amalgamation, each Shareholder will receive one
redeemable preferred share of the amalgamated company for each Share
held immediately prior to the Amalgamation. Each such redeemable share
will be redeemed immediately upon the Amalgamation for a cash
consideration of $1.50. Subject to satisfaction of customary
conditions, it is anticipated that the Amalgamation and the
transactions contemplated thereby will close on or about June 16, 2011.
For more information on the Amalgamation, see iWeb's news releases of
March 4 and May 3, 2011.
iWeb provides Internet hosting services and IT infrastructure to nearly
24,000 customers in 150 countries. With its four data centers, iWeb's
total capacity has reached 34,000 dedicated servers, over
1,100 co-location cabinets and 77 Gigabits per second (Gbps) of
Internet connectivity, from 9 separate providers.
One of Canada's 100 fastest growing companies according to PROFIT
Magazine, iWeb now generates more than 60% of its revenues, which
reached US$29 millions in 2010, from abroad. Founded in 1996 in
Montreal, iWeb shares are traded on the TSX Venture Exchange under the
With over $750 million in assets under management, Novacap is one of
Canada's leading private equity and venture capital firms. Since 1981,
its partnership strategy has helped over 50 companies accelerate growth
and maximize value. Novacap is one of North America's top private
equity firms, with first-quartile returns in North America. Further
information about Novacap is available at www.novacap.ca.
About Caisse de dépôt et placement du Québec
The Caisse de dépôt et placement du Québec is a financial institution
that manages funds primarily for public and private pension and
insurance plans. As at December 31, 2010, it held $151.7 billion in net
assets. As one of Canada's leading institutional fund managers, the
Caisse invests in major financial markets, private equity and real
About Bank Street Capital Partners
Bank Street Capital Partners is a private equity fund focused on growth
equity, acquisition finance, and special situations for small and
mid-size growth companies in the Communications, Media and Technology
sectors. Bank Street Capital Partners is led by a senior investment
team that has originated, structured, and executed more than 1,000
financial and strategic transactions during the course of their
careers. Bank Street Capital Partners leverages the extensive resources
of The Bank Street Group.
Except for historical information provided herein, this press release
contains "forward-looking statements" within the meaning of the
applicable securities legislation regarding the proposal to privatize
iWeb, including the statement regarding the terms of the proposed
transaction. Therefore, readers are cautioned not to place undue
reliance on forward-looking statements. Forward-looking statements
involve known and unknown risks, uncertainties and other factors which
may cause the actual results, performance or achievements of iWeb to be
materially different from any future results, performance or
achievements expressed or implied by the forward-looking statements in
this press release. These risks and uncertainties include, but are not
limited to, the satisfaction of the conditions to consummate the
Amalgamation, the occurrence of any event, change or other
circumstances that could give rise to termination of the Merger
Agreement, a delay in the consummation of the Amalgamation or failure
to complete the Amalgamation for any other reason, the amount of the
costs, fees, expenses and charges related to the Amalgamation, and the
risks associated with general economic conditions. The forward-looking
statements in this press release are made as of the date of this press
release and, except as required by law, iWeb disclaims any obligation
to update or revise publicly any forward-looking statements, whether as
a result of new information or future events.
SOURCE IWEB GROUP INC.
For further information:
Chief Financial Officer
iWeb Group Inc.
(514) 286-4242 ext. 2149
Investor Relations / Media Relations