TORONTO, June 19 /CNW/ - Mantis Mineral Corp. ("Mantis" or the "Company")
(CNQ - MINE) announces that its Board of Directors has approved the adoption
of a shareholder rights plan (the "Rights Plan") designed to encourage the
fair and equal treatment of shareholders in connection with any take-over bid
for the outstanding securities of the Company.
The Rights Plan is intended to provide the Board of Directors with
adequate time to assess a take-over bid, to consider alternatives to a
take-over bid as a means of maximizing shareholder value, to allow competing
bids to emerge, and to provide Mantis' shareholders with adequate time to
properly assess a take-over bid without undue pressure. The Rights Plan is
similar to plans adopted by other Canadian companies and ratified by their
shareholders. The Company's Board of Directors is not currently aware of any
pending or threatened take-over bid for the Company at present but believes
the Company's shares are significantly undervalued and does not reflect the
development of the Orphan Mine and Tamarack projects in Northern Ontario and
the Grass River project in Manitoba.
Under the terms of the Rights Plan, one right (a "Right") will be issued
by Mantis in respect of each outstanding Mantis common share at the close of
business today and in respect of each Mantis common share issued thereafter
(subject to the terms of the Rights Plan). The Rights issued under the Rights
Plan become exercisable only if a person acquires or announces its intention
to acquire 20% or more of the common shares of the Company without complying
with the "permitted bid" provisions of the Rights Plan or without the approval
of Mantis' Board of Directors.
Should such an acquisition occur, Rights holders (other than the
acquiring person or related persons) can purchase common shares of the Company
at a substantial discount to the prevailing market place (as defined in the
Rights Plan) at the time the Rights become exercisable.
"Permitted bids" under the Rights Plan must be made to all holders of
Mantis' common shares and must be open for acceptance for a minimum of
60 days. If at the end of 60 days at least 50% of the outstanding common
shares other than those owned by the offeror and certain related parties have
been tendered and not withdrawn, the bidder may take-up and pay for the shares
but must extend the bid for a further 10 days to allow other shareholders to
tender to the bid.
Although effective as of today, the Rights Plan is subject to
ratification by Mantis' shareholders at Mantis' next annual meeting of
shareholders to be held on June 27, 2008, and, if ratified, the Rights Plan
must be confirmed at every third annual meeting thereafter. If not ratified,
the Rights Plan and all of the Rights outstanding at the time will terminate.
Shareholders will receive supplemental materials with respect to the proposed
approval of the Rights Plan.
A copy of the Rights Plan and the supplemental materials will be
available for viewing on SEDAR at www.sedar.com, and can also be obtained from
Mantis upon a written request.
About Mantis Mineral Corp.
Mantis Mineral Corp. is a dynamic Canadian based resource company,
possessing a diversified portfolio of mineral properties across Canada,
including direct participation in three major area plays: Tamarack, Orphan and
Grass River. The company holds substantial land positions hosting gold,
nickel, copper and platinum group metals.
The CNQ has not reviewed and does not accept responsibility for the
adequacy of this release.
This press release contains forward-looking statements. The actual
results could differ materially from a conclusion, forecast or projection in
the forward-looking information. Certain material factors or assumptions were
applied in drawing a conclusion or making a forecast or projection as
reflected in the forward-looking information.
For further information:
For further information: Mr. Robin Ross, Chairman & CEO: (416) 362-1800,
firstname.lastname@example.org; Or visit our corporate website at