CALGARY, Sept. 21, 2016 /CNW/ - ArPetrol Ltd. ("ArPetrol" or the "Company") announces the completion of the initial distribution to its shareholders ("Shareholders") of a portion of the net proceeds from the sale of substantially all of its assets to a subsidiary of Empresa Nacional Del Petroleo, which closed on May 19, 2016 (the "Transaction"). The Company also announces the delisting of its commons shares ("Shares") from the TSX Venture Exchange ("TSXV"), as well as certain board and management changes.
First Distribution and Delisting
In line with prior announced plans, on September 20, 2016, the Company completed an initial distribution to Shareholders in the aggregate amount of Cdn $8,996,187, or Cdn $0.40 per Share, in furtherance of the liquidation and ultimate dissolution of ArPetrol. Further details regarding the amount of funds remaining available for future distribution to Shareholders will be provided in due course.
Also in line with the Company's prior announced plans, ArPetrol announces the delisting of its Shares from the TSXV, which became effective at the close of markets on September 20, 2016.
Board of Directors and Management Changes
The Company has accepted the resignation of Jeffery Boyce and Tim Thomas as members of the Board of Directors, and Ian Habke as President and CFO, each to be effective September 30, 2016. These changes reflect the evolving personnel requirements of the Company as it proceeds towards the liquidation of its remaining assets and its ultimate dissolution.
The Company would like to thank Mr. Boyce, Mr. Thomas and Mr. Habke for their dedication and service to ArPetrol and wishes them success in all their future endeavours.
Cancellation of Stock Options
The Company also announces that it intends to cancel all of its outstanding stock options for nominal consideration, effective September 30, 2016.
About ArPetrol Ltd.
ArPetrol is a Calgary-based company whose Shares were previously traded on the TSXV. The Company has completed a sale of substantially all of its assets pursuant to the Transaction and no longer has active business operations. The Company is currently in the process of working towards the liquidation of its remaining assets and its ultimate dissolution.
Certain information provided in this press release constitutes forward-looking statements and information within the meaning of applicable securities laws. Specifically, and without limitation, this press release contains forward-looking statements and information relating to the liquidation and dissolution of the Company, the resignation of certain directors and management of the Company and the cancellation of the Company's outstanding stock options. Forward‐looking information typically contains statements with words such as "anticipate", "believe", "forecast", expect", "plan", "intend", "estimate", "propose", "project", or similar words suggesting future outcomes. The Company cautions readers and prospective investors in the Company's securities not to place undue reliance on forward-looking information as, by its nature, it is based on current expectations regarding future events that involve a number of assumptions, inherent risks and uncertainties, which could cause actual results to differ materially from those anticipated by the Company.
In respect of the forward-looking statements and information set out in this press release, the Company has provided such in reliance on certain assumptions that it believes are reasonable at this time.
There are a number of risk factors associated with the completion of the liquidation and dissolution of the Company, and the amount and timing of distributions to be made to Shareholders that could cause actual results to differ materially from those anticipated by the Company, including but not limited to, risks of negative working capital adjustments and/or indemnity claims against the Company in connection with the Transaction, uncertainties regarding the actual transaction and dissolution costs and obligations and liabilities (including potential tax obligations) of the Company, changes in currency exchange rates and uncertainty regarding the ability to recover costs related to the ASSUPA lawsuit. Readers should also refer to "Forward Looking Statements" and "Meeting Matters – Approval of the Asset Sale Transaction and - Risk Factors Associated with the Asset Sale Transaction" in the Company's Information Circular dated April 4, 2016 filed on SEDAR at www.sedar.com for a further discussion of the risks associated with the distributions to be made to Shareholders.
The forward-looking information included herein is expressly qualified in its entirety by this cautionary statement. The forward-looking information included herein is made as of the date hereof and the Company assumes no obligation to update or revise any forward-looking information to reflect new events or circumstances, except as required by law.
Additional information relating to the Company is also available on SEDAR at www.sedar.com.
SOURCE ArPetrol Ltd.
For further information: Jason James, CEO, firstname.lastname@example.org, ArPetrol Ltd., Main Phone: 403-263-6738