(*) Eugene Melnyk Says He is Pleased with Board Appointment (*)
TORONTO, May 25 /CNW/ - Eugene Melnyk and EM Holdings B.V. (the
"Concerned Shareholders") today announced an agreement with Biovail
Corporation ("Biovail") (TSX/NYSE: "BVF") under which Mr. Frank Potter will be
appointed to Biovail's board of directors and audit committee immediately
following Biovail's annual and special meeting of shareholders scheduled to be
held on May 28, 2009 (the "Meeting").
In light of the appointment following the Meeting of Mr. Potter to
Biovail's board of directors and audit committee, the Concerned Shareholders
have agreed to withdraw the requisition and will not be proceeding with the
nomination of Mr. Haggis and Mr. Potter for election to the board of directors
of Biovail at the Meeting.
Mr. Melnyk said that he was pleased with the agreement that was reached.
"Our proposals in February 2009 for corporate governance reform and our
proposed nomination of two world-class individuals for Biovail's board of
directors were made solely to benefit all of the shareholders of the company I
founded," he said.
"I believe the agreement we reached with the company will do just that.
The addition of Frank Potter to Biovail's Board and audit committee is a very
positive step." Mr. Melnyk noted that he did not seek to change the management
or strategic direction of Biovail.
As part of the agreement, the Concerned Shareholders have agreed to
assist Biovail with meeting its quorum requirement for the Meeting, will vote
in favour of management's director nominees at the Meeting and will stand down
for a year and not participate in any proxy related activities with respect to
Biovail until the completion of Biovail's annual shareholder meeting in 2010.
As the largest shareholder of Biovail, Mr. Melnyk believes and agrees that a
year of stability will benefit the company and all shareholders.
"I look forward to seeing continued progress at Biovail," he said.
Certain statements contained in this release constitute forward-looking
statements. The words "may", "would", "could", "will", "intend", "plan",
"anticipate", "believe", "estimate", "expect" and similar expressions as they
relate to the Concerned Shareholders, the Company or its current or future
management, are intended to identify forward-looking statements. Such
statements reflect the Concerned Shareholders' current views with respect to
future events and are subject to certain risks, uncertainties and assumptions.
The Concerned Shareholders assume no responsibility for any such statements.
Many factors could cause the company's actual results, performance or
achievements that may be expressed or implied by such forward-looking
statements to vary from those described herein should one or more of these
risks or uncertainties materialize. Such factors include, but are not limited
to, economic, business, technological, competitive and regulatory factors. All
such factors should be considered carefully when making decisions with respect
to Biovail, and undue reliance should not be placed on the Concerned
Shareholders' forward-looking statements. The Concerned Shareholders do not
undertake to update any forward-looking statements, whether written or oral,
that may be made from time to time by or on their behalf, except as required
under applicable securities legislation.
For further information:
For further information: Canadian Media: Duncan Fulton,
Fleishman-Hillard, (416) 645-3655, firstname.lastname@example.org; US Media:
Michael Sitrick, Sitrick And Company, (310) 788-2850,