This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Day4 Energy Inc. Announces Proposed Arrangement And Application For Delisting

BURNABY, BC, May 28, 2012 /PRNewswire/ - Day4 Energy Inc. ("Day4" or the "Company") (TSX: DFE), announces that Day4 and 0941212 B.C. Ltd. ("094") a company indirectly owned and controlled by George Rubin (President and CEO of Day4) and Douglas Keast (Executive Vice-President and CFO of Day4), have entered into an agreement which proposes an arrangement (the "Arrangement") among Day4, Day4's shareholders and 094 (the "Arrangement Agreement").

Under the Arrangement, Day4 will transfer all of its business, assets and operations to 094, in exchange for cash consideration of $500,000 and 094 will assume all of the liabilities of Day4. The Arrangement will be effected by way of a court approved statutory plan of arrangement under the Business Corporations Act ( British Columbia). Following the completion of the Arrangement, Day4 will have no assets or liabilities other than $500,000 cash.  Following the Arrangement, Day4 will seek to review strategic alternatives to realize any additional value. There can be no assurance that Day4 will realize any additional value.

The completion of the Arrangement is subject to the satisfaction of a number of conditions including approval of the Arrangement by the shareholders of Day4, the Supreme Court of British Columbia and other regulatory approvals.  The Arrangement requires the approval by at least 66 2/3% of the votes cast by holders of Day4 shares and must also be approved by the holders of Day4's shares other than those shares held by George Rubin and Douglas Keast.  The Arrangement is exempt from the valuation requirements of applicable securities legislation as Day4 is considered to be in financial hardship and the transaction is designed to improve Day4's financial position.  The transaction was approved by a special committee of independent Day4 directors.  Prior to the approval of the transaction, the board of directors obtained a fairness opinion that the Arrangement is fair, from a financial point of view, to the shareholders of Day4.

Day4 shareholder approval will be sought at the annual and special meeting currently scheduled for June 27, 2012. It is anticipated that materials for such meeting will be mailed to Day4 shareholders on or about June 1, 2012. Subject to satisfaction of all conditions, completion of the Arrangement is expected to occur on June 29 or such later date as Day4 may announce by press release.

Delisting

Day4 previously announced that it received notice from the Toronto Stock Exchange (the "TSX" or the "Exchange") that the TSX is reviewing the eligibility for continued listing of the Company's securities on the Exchange.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 17,712.66 +34.43 0.19%
S&P 500 2,061.02 +4.87 0.24%
NASDAQ 4,891.2190 +27.8570 0.57%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs