Listing: TSX Venture Exchange, Symbol "LDR"
Issued and Outstanding Common Shares: 14,560,918
TORONTO, Sept. 21 /CNW/ - Leader Capital Corp. ("Leader" or "the
Company") announced today that at its annual and special shareholders meeting
to be held on October 12, 2007 it will be seeking the necessary shareholder
approval in order to consolidate its outstanding share capital on the basis of
one post-consolidation common share for each 50 pre-consolidation common
shares and then to immediately thereafter split its common shares on the basis
of 50 post-split common shares for each one post-consolidation common share.
This share capital reorganization is described in more detail in the Company's
management information circular dated September 13, 2007 which is available at
The Company is proposing this share capital reorganization in order to
reduce the number of shareholders who hold small numbers of common shares.
There are currently approximately 2,741 shareholders holding less than 50
common shares who collectively hold 13,096 common shares (with a current
market value of less than $3,500) which represent approximately 0.09% of the
total number of outstanding common shares of the Company. The Corporation
spends a significant amount of money each year printing and mailing to these
shareholders materials required by statute, such as annual reports and
information circulars, and serving their accounts through the Corporation's
registrar and transfer agent. The Corporation believes that most of these
small shareholders will welcome the opportunity to dispose of their Common
Shares without being required to pay a brokerage fee, which would make the
cost of such a disposition prohibitive.
If shareholder approval for the share capital reorganization is obtained,
shareholders holding less than 50 common shares will cease to be shareholders
and will receive cash for their common shares. Any such shareholder who wishes
to remain a shareholder following the share capital reorganization may do so
by purchasing enough additional common shares so that he or she will be the
holder of record of at least 50 common shares prior to the effective date of
the share capital reorganization which is currently expected to be October 20,
2007. A Shareholder holding fewer than 50 common shares should contact his or
her financial advisor for advice with respect to the proposed consolidation
If you are a shareholder of the Company and hold at least 50 common
shares which are registered in the name of an intermediary, such as an
investment dealer, or a clearing agency, such as the Canadian Depository for
Securities Limited, the share capital reorganization will have no effect on
your share position and you do not need to take any action. If you are a
registered holder holding at least 50 common shares, you should send your
share certificate together with the Letter of Transmittal provided with the
information circular appropriately completed to Equity Transfer & Trust
Company at the address set out in the Letter of Transmittal. Thereafter you
will receive a new share certificate for the same number of common shares that
you currently hold. The new share certificate will reflect a new CUSIP number
for the common shares of the Company.
There will be no change in the trading symbol of the Company's common
shares on the TSX Venture Exchange as a result of the share capital
reorganization. As the share capital reorganization will occur over a weekend,
the post-consolidation pre-split shares will not trade.
LEADER CAPITAL CORP.
Statements in this news release that are not historical facts, including
statements about plans and expectations regarding properties, reserves,
transactions and opportunities, capital resources and future financial results
are forward-looking. Forward-looking statements involve risks and
uncertainties, which may cause the Company's actual results in future periods
to differ materially from those expressed. These uncertainties and risks
including changing gas and commodity prices and currency exchange rates,
demand for gas, lack of success of future exploration and development,
competition and other factors discussed from time to time in the Company's
filings with the Ontario Securities Commission.
Neither the TSX Venture Exchange nor any securities regulatory authority
has approved or disapproved of this news release.
For further information:
For further information: Magaly Bianchini at (telephone) (416) 304-1913