Homburg Invest Inc. - Homburg Invest Provides Update On Restructuring Process; Announces Extension Of Stay Period And Initiation Of Investment Proposal Process

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MONTREAL, March 3, 2013 /CNW Telbec/ - Homburg Invest Inc. (NYSE Euronext Amsterdam: HII) ("Homburg Invest" or the "Company") announced today that it has obtained an order (the "Order") from the Superior Court of Québec (Commercial Division) (the "Court") under the Canadian Companies' Creditors Arrangement Act ("CCAA") further extending the CCAA protection granted to Homburg Invest and certain of its affiliates on September 9, 2011, as amended, until April 26, 2013.

Initiation of an investment proposal process
Homburg Invest also announced the approval by the Court of the initiation of an investment proposal process (the "IPP") with respect to Homburg Invest and its subsidiaries (the "HII Group").

Further to the Order, a notice of initiation of the IPP and a copy of the terms and conditions for the IPP (the "Terms and Conditions") will be sent to those parties who have expressed an interest in the HII Group's assets or business since the filing of the CCAA proceedings.

The Monitor will also provide the Terms and Conditions to any interested parties who, by written notice, express an interest in the HII Group's assets or business.

The timing and procedures governing the investment proposal process, the terms of participation by prospective strategic or financial investors, and the criteria for the submission, evaluation and selection of bids are set out in the Order. The Monitor will supervise the IPP in accordance with the terms of the Order. For further information, please refer to the Monitor's website at http://www.deloitte.com/ca/homburg-invest.

There can be no assurance that the IPP will lead to a transaction different from that contemplated by the Plan, or as to the terms of any such transaction.

More information about the HII Group's restructuring process can be found on the Monitor's website at http://www.deloitte.com/ca/homburg-invest.

Withdrawal of Proceedings by The Catalyst Capital Group Inc.
The Catalyst Capital Group Inc., on behalf of funds managed by it ("Catalyst"), has withdrawn proceedings instituted by it in Amsterdam against Stichting Homburg Bonds, the trustee for the mortgage and corporate bonds of Homburg Invest, as well as a motion filed with the Court. Catalyst has also indicated that it will consider participating in the IPP.

Delisting from the NYSE Euronext Amsterdam
As previously announced, the listing of Homburg Invest on NYSE Euronext Amsterdam will be terminated as of March 13, 2013. The delisting of Homburg Invest's Class A Shares will not affect the position of the creditors of Homburg Invest (including the bondholders).

About Homburg Invest
Homburg Invest owns a diversified portfolio of commercial real estate including office, retail, industrial and development properties throughout Canada, Europe and the United States.

Forward-Looking Statements
This press release contains forward-looking information within the meaning of Canadian securities legislation. Forward-looking information or statements can be identified by use of forward-looking words such as "may", "will", "expect" or "intends" or the negative thereof or similar variations. The actual outcome of the events described using these statements could differ materially from that expressed or implied by such statements. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Some important factors that could cause actual results to differ materially from expectations include, among other things, the outcome of the ongoing restructuring process, general economic and market factors, actual timing of discussions with parties interested in making a proposal in connection with the restructuring process, changes in government regulation and the factors described from time to time in the documents filed by Homburg Invest with the securities regulatory authorities in Canada. This cautionary statement qualifies all forward-looking statements attributable to Homburg Invest and persons acting on its behalf. Unless otherwise stated or required by applicable law, all forward-looking statements speak only as of the date of this press release and Homburg Invest disclaims any obligation to update such statements.

 

SOURCE: Homburg Invest

Media: 

Canada
Caroline Martel
NATIONAL Public Relations
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Netherlands
Heleen Jansen
Cohn & Wolfe
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