- Solidarity Fund QFL's contribution helps privatization project succeed
SAINT-ELZEAR-DE-BEAUCE, QC, Feb. 23 /CNW Telbec/ - ADS Inc. ("ADS")
(Toronto Stock Exchange ("TSX"): AAL.A) is pleased to announce that the
proposed amalgamation (the "Amalgamation") of ADS and 7097697 Canada Inc.
("Newco") was completed today. The Amalgamation takes effect following, inter
alia, the approval by ADS shareholders of a special resolution adopting the
Amalgamation Agreement at the special meeting held on February 20, 2009.
"Several ADS employees took part in the project and we are truly
appreciative of their help. Other people also contributed to the project,
including our legal and financial advisors, as well as our bankers, to whom we
wish to extend a special thank you. As an important page turns in our history,
we would like to thank, one last time, all our shareholders who have actively
supported us from the moment we were listed on the Montreal Stock Exchange in
1986 and later on the TSX. We would also like to thank The Solidarity Fund QFL
which, by becoming a partner, has ensured that we continue to have a solid
financial structure, an essential ingredient in the ongoing improvement of our
organisation," stated Guy Drouin, the President and Chief Executive Officer of
"Privatization is a strategic decision that will affect a company's
future and going this route requires deep expertise and dexterity. The Fund is
pleased to have helped ADS with this initiative. As a growth partner of Québec
SMEs, the Fund is fully behind ADS a company that has carved itself a solid
piece of the non-woven materials industry," said Gaétan Morin, the Solidarity
Fund QFL's Executive Vice-President of Investments.
Pursuant to the Amalgamation, each holder of Class A multiple voting
shares of ADS ("ADS Shares"), except for Newco, will receive a redeemable
preferred share of the corporation resulting from the Amalgamation for each
ADS Share that he held immediately before the Amalgamation. On February 24,
2009, each redeemable preferred share of the corporation resulting from the
Amalgamation will then be redeemed by the corporation resulting from the
Amalgamation for a payment of $0.90 in cash. The holders of Newco shares will
receive Class A shares and, in some cases, Class C shares of the corporation
resulting from the Amalgamation.
Therefore, the corporation resulting from the Amalgamation will own all
of the property, rights and assets of ADS and Newco and will assume all of
their obligations. The shares of the corporation resulting from the
Amalgamation will be delisted from the TSX and an application will be filed
with the securities authorities to revoke its reporting issuer status.
ADS, whose head office is based in Beauce, near Quebec City, is a
corporation active primarily in the manufacturing sector through subsidiaries
operating in the technical textiles field. For more information about ADS,
please visit the corporation's web site at www.adsinc.ca.
For further information:
For further information: Mr. Guy Drouin, President and Chief Executive
Officer, (418) 387-3383; Source: ADS Inc.