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MONTREAL, Sept. 9, 2011 /CNW Telbec/ - (TSX: HII.A & HII.B and NYSE
Euronext Amsterdam: HII) - Homburg Invest Inc. ("HII" or the "Company")
announced today that it and certain of its subsidiaries applied to the
Court for protection under the Companies' Creditors Arrangement Act ("CCAA").
Deloitte & Touche LLP is the proposed Court-appointed monitor that will
oversee the proceeding under the CCAA (the "Monitor"). Deloitte &
Touche will periodically post the applications to the Court as well as
the orders issued by the Court on its website.
HII is hopeful that the appointment of the Monitor will address the
primary concerns of the Netherlands Authority for the Financial Markets
("AFM"). In addition to the duties and obligations of the Monitor as
prescribed by law, HII has requested that the Monitor be afforded
certain additional powers that will facilitate its ability to cooperate
fully with the AFM, including the right of the Monitor to communicate
directly with the AFM with regard to any matters concerning the HII
group of companies.
"The purpose of the application is to allow us to restructure our
activities in an orderly fashion in the best long-term interests of the
Company and all of its stakeholders," said Hartmut Fromm, Chairman of
the Board of HII. "The CCAA application enables the Board of Directors
and Management to take measures to enhance the balance sheet of the
The CCAA is a Canadian federal law allowing insolvent companies that owe
their creditors in excess of $5 million to restructure their business
and financial affairs. CCAA is not bankruptcy. The main purpose of the
CCAA is to enable financially distressed companies to avoid bankruptcy
or foreclosure or seizure of assets while maximizing returns for their
creditors and preserving both jobs and the company's value as a
functioning business. CCAA proceedings are carried out under the
supervision of the Court.
Additional information, including how bondholders, creditors and
shareholders in the Netherlands and in Canada can contact the Company,
will be available shortly.
The Company's CCAA filing does not affect Homburg Canada Real Estate
Investment Trust, which is an independent entity and distinct from the
Company and its subsidiaries.
About Homburg Invest
Homburg Invest Inc. owns and develops a diversified portfolio of quality
commercial real estate including office, retail, industrial and
development properties throughout Europe and the United States, as well
as an interest in Homburg Canada Real Estate Investment Trust.
SOURCE HOMBURG INVEST INC.
For further information:
NATIONAL Public Relations (514) 843-2313