TORONTO, ONTARIO — (Marketwired) — 07/31/13 — West Street Capital Corporation (“West Street” or the “company”) (TSX VENTURE: WSC)(TSX VENTURE: WSC.PR.A) announced today that its major shareholder, Brookfield Asset Management Inc. (“Brookfield”), intends to make an increased formal offer to purchase all of the common shares of the company (the “Common Shares”) that Brookfield does not currently own at a price of $0.32 for each Common Share.
Brookfield currently owns, directly or indirectly, approximately 60% of the company-s Common Shares and 100% of the company-s Class A Preferred Shares, Series 1 and 2. There are approximately 4,368,739 Common Shares issued by the company that are not directly or indirectly held by Brookfield, representing an aggregate value of approximately $1.40 million at the offer price. Brookfield has been advised that certain shareholders holding 1,237,500 Common Shares, representing approximately 28% of the Common Shares that Brookfield does not own, intend to tender those Common Shares into the increased bid.
In June 2013, Brookfield took up shares, pursuant to a formal bid at a price of $0.21. Brookfield intends to extend the increased consideration payable for Common Shares in the increased offer to all West Street shareholders that tendered into the initial bid, and remit to each of them $0.11 per Common Share taken up in the initial bid.
The company-s board of directors previously established a special committee of Independent Directors to consider Brookfield-s initial bid. This committee will review the increased offer. The offer will include an independent valuation of the Common Shares.
Forward-Looking Statements
Note: This news release contains forward-looking information within the meaning of Canadian provincial securities laws and forward-looking statements within the meaning of applicable Canadian securities regulations. The words “intend,” “expect” and derivations thereof and other expressions that are predictions of or indicate future events, trends or prospects and which do not relate to historical matters identify forward-looking statements. Forward-looking statements in this news release include statements in regards to the increased Brookfield offer for Common Shares. Although West Street believes that such forward-looking statements and information are based upon reasonable assumptions and expectations, the reader should not place undue reliance on forward-looking statements and information as such statements and information involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the company to differ materially from anticipated future results, performance or achievement expressed or implied by such forward-looking statements and information.
When relying on our forward-looking statements to make decisions with respect to West Street, investors and others should carefully consider future uncertainties and potential events. Except as required by law, the company undertakes no obligation to publicly update or revise any forward-looking statements or information, whether written or oral, as a result of new information, future events or otherwise.
Contacts:
West Street Capital Corporation
Mabel W.H. Wong
Vice President, Finance
(416) 363-9491