CALGARY, March 20, 2012 /CNW/ - Raimount Energy Inc. ("Raimount"), (TSXV: RMT) is pleased to announce that it entered into an arrangement agreement today with its wholly-owned subsidiary Mount Rainey Silver Inc. ("Mount Rainey"). The agreement provides for a reduction of Raimount's stated capital by way of a distribution of all of the Mount Rainey shares held by Raimount to shareholders of Raimount (the "Arrangement"). Following the Arrangement, Mount Rainey will no longer be a wholly-owned subsidiary of Raimount and all of the Mount Rainey shares will be held by Raimount shareholders. Raimount does not anticipate that the shareholders of Raimount will suffer any adverse tax impact as a result of the Arrangement.
The Arrangement is to be completed by way of a plan of arrangement pursuant to the Canada Business Corporations Act (Canada) and is expected to be completed by early May, 2012. Completion of the Arrangement is subject to approval by Raimount shareholders, court approval and regulatory approvals.
Statements with respect to the timing for the closing of the Arrangement and potential tax impact in this news release constitute forward-looking statements. These statements relate to future events. The timing is based on the date of the shareholders meeting being held to approve the Arrangement and tax assessment is based on tax advice received by the Corporation. All statements other than statements of historical fact are forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements including, without limitation, a delay or adjournment of the meeting, failure to obtain shareholder approval or failure to receive applicable exchange and/or court approval. Although Raimount believes these statements to be reasonable, no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. The forward-looking statements contained in this news release represent Raimount's expectations as of the date hereof, and are subject to change after such date. Raimount disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as may be required by applicable securities regulations.
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information:
Raimount Energy Inc.
Gregory A. Vavra, President
403-265-6292 ext. 1