VANCOUVER, Aug. 11, 2016 /CNW/ - Grandfield Pacific Inc. (the "Company") announces it has redeemed for cancellation and return to treasury (the "Redemption") all of the issued and outstanding convertible preference shares without par or nominal value in its share capital (the "Preference Shares"), pursuant to a share redemption agreement and escrow agreement made effective June 24, 2016 with all the registered holders of the Preference Shares (the "Redemption and Escrow Agreement").
In aggregate, 1,927,712 Preference Shares were redeemed effective August 2, 2016 for an initial redemption payment in the aggregate amount of $707,131 in full and final settlement of all accrued dividends on the Preference Shares and the redemption price for the Preference Shares provided by the articles of the Company. In connection with the Redemption, $400,000 (the "Escrow Funds") has been deposited with the escrow agent appointed under the Redemption and Escrow Agreement for the payment of Contingent Liabilities (as such term is defined in the Redemption and Escrow Agreement). Assuming, among other things, the full release of the Escrow Funds, the aggregate of the amounts paid by the Company to redeem the Preference Shares may equal up to $1,128,545.
The Company does not currently have active business operations and is evaluating potential business opportunities in the life sciences sector.
ON BEHALF OF THE BOARD OF DIRECTORS
Chief Executive Officer
This press release contains certain "forward-looking statements" within the meaning of Canadian securities legislation, relating to, among other things, the release of the Escrow Funds, the occurrence of any Contingent Liabilities and the Company's future business plans. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are statements that are not historical facts; they are generally, but not always, identified by the words "expects," "plans", "anticipates", "believes", "intends" and similar expressions or are those statements, which, by their nature, refer to future events. The Company cautions that forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made and they involve a number of risks and uncertainties. Consequently, there can be no assurances that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to: the occurrence of events that give rise to Contingent Liabilities which prevent the release of all or some of the Escrow Funds, the possibility that the Company will not be able to find a suitable business opportunity and will therefore need to windup its operation and the ability of the Company to secure the financing required to conduct its operations, as well as those risks identified in the Company's filings with the Canadian securities regulators, which may be viewed at www.sedar.com. Readers are cautioned that forward-looking statements are not guarantees of future performance or events and, accordingly are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty of such statements. The forward-looking statements included in this press release are made as of the date hereof and the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation.
SOURCE Grandfield Pacific Inc.
For further information: Leigh-Ann Kask, Chief Financial Officer, Telephone: (778) 772-6707, Fax: (604) 990-8015