Dec. 3, 2012 /PRNewswire/ - Sino-Forest Corporation ("Sino-Forest" or the "Company") announced that at a meeting of its creditors held today, the creditors voted on and approved, by the required majorities, the Plan of Compromise and Reorganization of Sino-Forest pursuant to the
Companies' Creditors Arrangement Act (
Canada) and the
Canada Business Corporations Act dated
December 3, 2012 (the "Plan"). The Plan was approved at the meeting by 99% of the number of affected creditors who voted on the Plan and by over 99% in value of the proven claims held by affected creditors who voted on the Plan.
The Company intends to seek an order of the Ontario Superior Court of Justice (the "Court") sanctioning and approving the Plan at a hearing scheduled to take place on
December 7, 2012 and
December 10, 2012 at
10:00 a.m. (
Toronto time) at the Court at 330 University Avenue,
Toronto, Ontario, Canada. As a result of certain amendments to the Plan announced by the Company earlier today, the noteholders of Sino-Forest, Ernst & Young LLP and certain underwriters of Sino-Forest voted in favour of the Plan at the meeting of creditors held today.
Implementation of the Plan is subject to the approval of the Court and to numerous other conditions precedent, including the receipt of any necessary regulatory approvals. If the conditions precedent are satisfied or waived within the time frames anticipated, Sino-Forest intends to implement the Plan not later than
January 15, 2013.
Further information concerning the Plan is available on the Monitor's website at
http://cfcanada.fticonsulting.com/sfc, the Company's website at
www.sinoforest.com, and on SEDAR at
This news release contains forward-looking information within the meaning of applicable securities laws ("forward-looking statements"), including forward-looking statements relating to: Sino-Forest's intention to seek an order of the Court sanctioning and approving the Plan; and Sino-Forest's intention to implement the Plan not later than
January 15, 2013
. The forward looking statements expressed or implied by this news release are subject to important risks and uncertainties. Forward-looking statements are based on estimates and assumptions made by the Company in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors that the Company believes are appropriate in the circumstances. The results or events predicted in these statements may differ materially from actual results or events and are not guarantees of future performance of Sino-Forest. Factors which could cause results or events to differ from current expectations include, among other things: Sino-Forest's ability to complete the Plan in the time period contemplated, if at all, which is dependent on its ability to comply with the closing conditions to the Plan, many of which are significant and beyond the control of Sino-Forest, including the approval of the Court and securities and other regulatory authorities; actions taken by the Company's noteholders, lenders, creditors, shareholders, and other stakeholders to enforce their rights; actions taken against the Company by governmental agencies and securities and other regulators; actions taken by the Monitor; the outcome of examinations and proceedings currently underway by law enforcement and securities regulatory authorities; the outcome of class action or other proceedings which have been or may in future be initiated against the Company; and the Company's ability to continue to operate without former senior management, almost all of whom have ceased to employed by the Company; and other factors not currently viewed as material that could cause actual results to differ materially from those described in the forwarding-looking statements. Sino-Forest Corporation 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 required by law.
SOURCE Sino-Forest Corporation