CALGARY, March 13 /CNW/ - Northern Sun Exploration Company Inc.
("Northern Sun" or the "Company") (TSXV: NSE) announced today that its Board
of Directors has approved the adoption of a Shareholder Rights Plan Agreement
(the "Rights Plan"). The Rights Plan is being adopted to ensure the fair
treatment of all Northern Sun shareholders in connection with any take-over
bid for the outstanding common shares of Northern Sun. The Rights Plan will
provide shareholders with adequate time to properly evaluate and assess a
take-over bid without facing undue pressure or coercion. The Rights Plan also
provides the Board with additional time to consider any take-over bid and, if
applicable, to explore alternative transactions in order to maximize
The Rights Plan is not designed to prevent take-over bids that treat
Northern Sun shareholders fairly. Pursuant to the terms of the Rights Plan,
any bid that meets certain criteria intended to protect the interests of all
shareholders are deemed to be "Permitted Bids." A Permitted Bid must be made
by way of a take-over bid circular prepared in compliance with applicable
securities laws and, in addition to certain other conditions, must remain open
for 60 days. In the event a take-over bid does not meet the Permitted Bid
requirements of the Rights Plan, the rights issued under the plan will entitle
shareholders, other than any shareholder or shareholders involved in the
take-over bid, to purchase additional common shares of Northern Sun at a
significant discount to the market price of the common shares at that time.
The Rights Plan is not being adopted in response to any proposal to
acquire control of Northern Sun.
The Rights Plan is subject to approval by the TSX Venture Exchange and
will be presented for ratification by the shareholders at the Northern Sun
annual meeting to be held by no later than May, 2007. If ratified by
shareholders, the Rights Plan will have a term of three years.
Neither the TSX Venture Exchange nor any other regulatory authority
accepts responsibility for the adequacy or accuracy of this release.
ON BEHALF OF THE BOARD OF DIRECTORS OF
NORTHERN SUN EXPLORATION COMPANY INC.
President & CEO
Forward Looking and other Cautionary Information
This release includes certain statements that may be deemed
"forward-looking statements." All statements in this release are
forward-looking statements. Although the Company believe the expectations
expressed in such forward-looking statements are based on reasonable
assumptions, such statements should not be in any way construed as guarantees
of future performance and actual results or developments may differ materially
from those in the forward-looking statements. The Company is subject to the
specific risks inherent in the oil and gas business as well as general
economic and business conditions. For more information on the Company,
investors should review the Company's annual filings that are available at
For further information:
For further information: Chris Cooper toll-free at (866) 827-2722, via
email at email@example.com, or visit the Company website at