ROAD TOWN, Tortola, British Virgin Islands, Jan. 21 /CNW/ - CIC Energy
Corp. ("CIC Energy" or the "Company") (TSX:ELC, BSE:CIC Energy)
announces that the proposed acquisition of CIC Energy by JSW Energy
Limited ("JSW") was approved by approximately 99.8% of the votes cast
at the special meeting of shareholders held earlier today. The
acquisition is via a merger of CIC Energy with a subsidiary of JSW (the
"Merger") as set out in the Company's information circular dated
December 23, 2010.
Upon the completion of the Merger, the holders of the outstanding shares
of CIC Energy, including any shares issued pursuant to the exercise of
outstanding options, will receive CDN$7.42 per share. This price
represents a premium of 203% to the volume weighted average trading
price for CIC Energy's shares on the TSX for the 30-trading day period
ending September 14, 2010, the day prior to the announcement of the
first proposal CIC Energy received with respect to the acquisition of
The Merger is expected to close no later than February 28, 2011, subject
to the satisfaction or waiver by JSW of certain conditions precedent
(see the Company's news releases of November 23 and December 16, 2010).
The Company's report of voting results will be filed on SEDAR at www.sedar.com today.
About CIC Energy Corp.
CIC Energy Corp. is engaged in the advancement of the Mmamabula Energy
Complex at the Mmamabula Coal Field in Botswana, Africa. This planned
Complex consists of the Mmamabula Energy Project, the Mookane Domestic
Power Project, the Export Coal Project and a potential
CIC Energy has a treasury of approximately CDN$22 million and has
52,573,969 million shares outstanding and 70,160,417 shares fully diluted including
13,061,448 million warrants which have not vested. CIC Energy is listed on the
Toronto Stock Exchange (TSX:ELC) and the Botswana Stock Exchange
This news release contains certain "forward-looking information". All
statements, other than statements of historical fact, that address
activities, events or developments that CIC Energy believes, expects or
anticipates will or may occur in the future are forward looking
information. Such forward looking information reflects the current
expectations or beliefs of CIC Energy based on information currently
available to CIC Energy. Such forward-looking information includes,
among other things, statements regarding the timing and anticipated
consequences of the Merger. Forward-looking information is subject to
significant risks and uncertainties and other factors that could cause
the actual results to differ materially from those discussed in
forward-looking information, and even if such actual results are
realized or substantially realized, there can be no assurance that they
will have the expected consequences to, or effects on, CIC Energy or
its shareholders. Factors that could cause actual results or events to
differ materially from current expectations include, but are not
limited to, alternative transactions involving third parties which may
result in the termination of the Company's agreement with JSW and/or
the terms of such agreement being changed, the failure of the parties
to satisfy the conditions precedent to the completion of the Merger,
and other factors. Forward-looking information speaks only as of the
date on which it is made and, except as may be required by applicable
securities laws, CIC Energy disclaims any intent or obligation to
update any forward-looking information, whether as a result of new
information, future events or results or otherwise. Although CIC Energy
believes that the assumptions inherent in forward-looking information
(including, without limitation, that the conditions to completing the
Merger are satisfied within the times required) are reasonable,
forward-looking information is not a guarantee of future performance
and accordingly, undue reliance should not be put on such information
due to the inherent uncertainty therein.
SOURCE CIC Energy Corp.
For further information:
on CIC Energy and its projects visit the Company's website at www.cicenergy.com or contact:
Erica Belling, CFA, P.Eng.
VP Investor Relations
Tau Capital Corp.
Tel: (416) 361-9636 x 243