VANCOUVER, Nov. 8, 2019 /CNW/ - CRC Royalty Corporation (the "Company") today announced that its Board of Directors ("Board") has determined that a settlement and dissolution of the Company is in the Company's best interests. Effective immediately, the Company will cease to carry on business except as may be required to wind up the business and affairs of the Company.
The Board will call a special meeting of shareholders of the Company (the "Meeting") for December 9, 2019 to approve the dissolution of the Company. For the dissolution to proceed, the dissolution resolution must be approved by way of a special resolution passed by at least two-thirds of the votes cast by the Company's shareholders in person or by proxy at the Meeting.
Dissolution Process and Distribution
Upon receipt of the required shareholder approvals, the Company will settle all of the assets of the Company and pay all of the liabilities of the Company, and distribute any remaining assets of the Company rateably to the shareholders of record as of the date of dissolution of the Company. The Company will then be dissolved. This process will be further described in the management information circular for the Meeting.
About the Company
The Company commenced operations on October 5, 2011 as a wholly owned subsidiary of WCSB Oil and Gas Royalty Income 2009 Limited Partnership ("LP"). The Company was created to affect the transaction outlined in the July 26, 2011 "Restructuring Agreement" whereby the former partners of LP became the majority shareholders of the Company. When LP was dissolved, CRC became the ultimate parent Company and assumed the reporting requirements on from LP. As part of the corporate restructuring, the Company (formerly LP) changed its major business activities from holding royalties in oil and gas properties to holding royalty units of Caledonian Royalty Corporation.
This news release contains forward-looking statements and information within the meaning of applicable securities laws including statements regarding: the holding of the Meeting; the approval of matters to be presented to the Company's shareholders at the Meeting; anticipated distributions to the Company's shareholders; and the implementation by the Board of the dissolution. Although the Company believes that the expectations reflected in its forward-looking statements are reasonable, such statements have been based upon currently available information to the Company. Such statements are subject to known and unknown risks, uncertainties and other factors that could influence actual results or events and cause actual results or events to differ materially from those stated, anticipated or implied in forward-looking statements. Risks include, but are not limited to: receipt of all required regulatory and shareholder approvals, changes in tax laws, the ability to make distributions to shareholders and the ability to dissolve the Company. Readers are cautioned to not place undue reliance on forward-looking statements. The statements in this news release are made as of the date of this release, and, except as required by applicable law, the Company does not undertake any obligation to publicly update or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this document are expressly qualified by this cautionary statement.
SOURCE CRC Royalty Corporation
For further information: Hugh Cartwright, Chairman and Director, Telephone: 604-630-7020, Email: [email protected]