C.A. Bancorp Inc. Receives Value of $1,200,000 from the Sale of the Assets of Everus Communications Inc. to Barrett Xplore Inc.
TORONTO, ONTARIO -- 03/04/10 -- C.A. Bancorp Inc. (“C.A. Bancorp” or the “Company”) (TSX: BKP) announces the sale to Barrett Xplore Inc. (“BXI”) of substantially all of the assets of Everus Communications Inc. and 2137532 Ontario Inc. (collectively, “Everus”) including contracts with rural wireless customers and related network assets. The transaction represents the culmination of a marketing and sales effort conducted by BDO Canada Limited (“BDO”), in its capacity as Court-appointed interim receiver of all the assets, undertakings and properties of Everus. CCC Investment Banking acted as agent for BDO throughout the sales process.
Transaction Overview
C.A. Bancorp, as senior secured creditor of Everus, received approximately $1.2 million in
consideration, subject to certain post-closing adjustments. The majority of the consideration
was satisfied by a promissory note, convertible into BXI common shares within the next
twelve months.
"As Canada’s largest provider of rural broadband services, BXI is well positioned to integrate and expand Everus’ operations in serving rural customers in southwestern Ontario," said C.A. Bancorp President, Mark Gardhouse. "We are excited to become a shareholder of BXI as it executes on a compelling market opportunity."
C.A. Bancorp Inc.
C.A. Bancorp is a publicly traded Canadian merchant bank and alternative asset manager that provides investors with access to a range of private equity and other alternative asset class investment opportunities. C.A. Bancorp is focused on investments in small- and middle-capitalization public and private companies, with emphasis on the industrials, real estate, infrastructure and financial services sectors.
More information: Paolo De Luca, Chief Financial Officer
Tel: 1-866-388-5985
Fax: 416-861-8166
This news release contains forward-looking statements. These statements relate to anticipated future events, results, circumstances, performance or expectations that are not historical facts but instead represent C.A. Bancorp’s beliefs regarding future events. Such forward-looking statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Forward-looking statements are based on a number of assumptions which may prove to be incorrect. These cautionary statements qualify all forward-looking statements attributable to C.A. Bancorp and persons acting on its behalf relating to the subject matter of this press release. Unless otherwise stated, all forward-looking statements speak only as of the date of this press release. C.A. Bancorp does not undertake, and specifically disclaims, any intention or obligation to update or revise any of such forward-looking statements, whether as a result of new information, future events or otherwise, unless required by applicable law.