VANCOUVER, May 31, 2011 /CNW/ - TimberWest Forest Corp. (TSX: TWF.UN)
("TimberWest" or the "Company") announced the formation of a soliciting
dealer group and engagement of BMO Capital Markets ("BMO") as
soliciting dealer manager in connection with the annual general and
special meeting (the "Meeting") of holders ("Unitholders") of the
Company's stapled units to be held on June 14, 2011 to approve, among
other things, the proposed acquisition of the Company by British
Columbia Investment Management Corporation and the Public Sector
Pension Investment Board (the "Transaction").
BMO has agreed to form a soliciting dealer group consisting of members
of the Investment Industry Regulatory Organization of Canada and the
Toronto Stock Exchange. Members of the soliciting dealer group will be
invited to solicit proxies from Unitholders in favour of resolutions
approving the Transaction (the "Resolutions").
Subject to certain exceptions, a solicitation fee of $0.05 for each
Stapled Unit voted in favour of the Resolutions will be payable where
(a) such soliciting dealer's name appears on a form of proxy or voting
instruction form, or (b) if no such name is contained on such form of
proxy or voting instruction form, the Stapled Unit is held in a trading
account with such soliciting dealer. The fees payable to a soliciting
dealer are subject to the following: (a) the solicitation fee payable
in respect of any single beneficial Unitholder shall not be less than
CDN $100 or more than CDN $1,500 per soliciting dealer; and (b) the
minimum fee of CDN $100 shall only be paid in respect of any one
beneficial Unitholder where the number of stapled units owned and so
voted by such beneficial Unitholder is greater than or equal to 500.
TimberWest will also reimburse BMO for all reasonable costs and
expenses incurred in connection with its engagement. No solicitation
fees will be payable if either of the Resolutions is not adopted.
TimberWest will bear the costs of the solicitation of proxies.
TimberWest has filed and mailed a management information circular and
related documents to Unitholders in connection with the Meeting. Copies
of the these materials have been publicly filed and are available under
the Company's profile on SEDAR at www.sedar.com or on the Company's website at www.timberwest.com. Any questions or requests for assistance may be directed to either
Laurel Hill Advisory Group Company at 1-877-452-7184 or BMO at
TimberWest is uniquely positioned as western Canada's largest private
timber and land management company. The Company owns in fee simple
approximately 327,000 hectares or 808,000 acres of private land and is
in the business of selling timber products and real estate.
TimberWest's stapled units are traded on the Toronto Stock Exchange
under the symbol "TWF.UN"
Forward-looking Statements Disclaimer
Statements in this news release that are not historical facts are
forward-looking statements that involve risks and uncertainties. TimberWest's actual results could differ materially from those expressed
or implied by such forward-looking statements. Factors that could cause or contribute to
such differences include, but are not limited to general economic conditions, variations in
TimberWest's product prices and changes in commodity prices generally, changes in market conditions,
variations in harvest levels, changes in log transportation costs,
actions of competitors, interest rate and foreign currency
fluctuations, regulatory, harvesting fee and trade policy changes and
other actions by governmental authorities including real estate zoning
approvals, the ability to implement business strategies and pursue
business opportunities, labour relations, weather conditions, forest
fires, insect infestation, disease and other natural phenomena and
other risks and uncertainties described in TimberWest's public filings with securities regulatory
authorities. In addition, the completion of the Transaction, or of any alternative transaction, is
or would be conditional upon a number of factors, many of which are outside of TimberWest's
control. There is no assurance that the Transaction or any alternative transaction will be
completed on its terms or at all.
SOURCE TimberWest Forest Corp.
For further information:
Vice President Finance and
Chief Financial Officer