ANTHONY CLARK INTERNATIONAL INSURANCE BROKERS LTD. (TSX Venture Exchange:
“ACL”; OTCQX: ACKBF)
(the “Corporation”) intends to issue shares of the Corporation to an arm’s length party in satisfaction of debt owed by the Corporation, whereby the U.S. Lender has agreed to receive a portion of the interest owed to it in common shares of the Corporation.
The Corporation and its subsidiaries entered into a Loan Agreement dated March 17, 2007 with a U.S. Lender for the principal amount of $3,250,000.00 US. The Loan Agreement was amended in January, 2010 so that the U.S. Lender agreed to accept 4.0% of the interest payments due in Common Shares of the Corporation. As such, and subject to regulatory approvals, the Corporation intends to issue $128,857.54 Cdn worth of Common Shares priced at $0.41 per Common Share. The pricing of the Common Shares, as determined by the amendment to the Loan Agreement, was determined by the trading price of the Common Shares at the close of business on the first trading day for the Common Shares after January 1, 2011.
The issuance of any Common Shares of the Corporation is subject to any and all required regulatory approvals and the acceptance of the TSX Venture Exchange.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
Except for the historical information contained herein, this press release contains statements that constitute forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statement inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that may cause or contribute to such differences include, among other things, the Corporation’s ability to close the proposed transaction. Other risks and uncertainties include changes in business conditions and the economy in general, changes in governmental regulations, unforeseen litigation and other risk factors identified in the Corporation’s public filings under “Risk Factors”. The Corporation undertakes no obligation to update these forward-looking statements for revisions or changes after the date of this press release.