MONTREAL, March 29, 2012 /CNW Telbec/ - Prestige Telecom Inc. ("Prestige" or "the Company") (TSXV: PR) announces that it has received a final order from the Court approving the proposal approved at the meeting of its creditors which took place on March 6, 2012 and authorizing the reorganization of Prestige's share capital as stated previously pursuant to section 191 of the Canada Business Corporations Act.
The proposal involves the acceptance of an offer from 7922825 Canada Inc. ("Netricom"), the affiliate of Thornhill Investments Inc. that purchased the Company's assets, which would valorize the Company's tax attributes. The offer contemplates Netricom becoming the Company's sole shareholder in return of a cash consideration equivalent to $400,000, less the professional fees incurred in order to complete the transaction, subject to a minimum cash consideration of $100,000. Pursuant to the proposal, Prestige's share capital shall be reorganized in such a manner as to allow Netricom to be the sole shareholder of Prestige. Current shareholders will see their shares effectively cancelled for no consideration. Moreover, in full and final satisfaction of their claims, creditors will be given the opportunity to share in a limited cash pool comprised of cash on hand and proceeds from the Netricom transaction.
This press release contains certain forward-looking statements with respect to the Company. Such forward-looking statements are dependent upon a certain number of factors and are subject to risks and uncertainties. Prestige does not assume any obligation to update or revise any forward-looking statements, whether as a result of new information or future events, except when required by the regulatory authorities.
The TSX Venture Exchange has not reviewed the contents of this press release and accepts no responsibility for the adequacy or the accuracy thereof.
For further information:
Prestige Telecom Inc.
Tel.: (514) 457 4488