Industry Press Releases

Canexus and Chemtrade in Discussions

Wednesday, Dec 14, 2016

Canexus Corporation has been required by the Investment Industry Regulatory Organization of Canada (IIROC) to comment on the recent unusual trading activity in the Corporation's shares.

Canexus and Chemtrade Logistics Income Fund ("Chemtrade") are in discussions regarding a possible plan of arrangement under which an indirect wholly-owned subsidiary of Chemtrade would purchase all of the issued and outstanding common shares of Canexus (the "Common Shares") for cash consideration of $1.65 per Common Share.

Canexus cautions that there can be no assurance that a transaction will result from these discussions. Any transaction that could result from these discussions would be subject to regulatory and shareholder approvals.

About Canexus

Canexus produces sodium chlorate and chlor-alkali products largely for the pulp and paper and water treatment industries. Our four plants in Canada and two at one site in Brazil are reliable, low-cost, strategically located facilities that capitalize on competitive electricity costs and transportation infrastructure to minimize production and delivery costs. Canexus targets opportunities to maximize shareholder returns and delivers high-quality products to its customers and is committed to Responsible Care® through safe operating practices. Canexus' common shares (CUS) and debentures (Series IV - CUS.DB.B; Series V - CUS.DB.C; Series VI - CUS.DB.D) trade on the Toronto Stock Exchange. More information about Canexus is available at www.canexus.ca.

Forward-Looking Statements

This news release contains forward-looking statements and information relating to expected future events and financial and operating results of the Corporation and its subsidiaries, including with respect to: the consequences of the Chemtrade offer, the consideration and evaluation of Chemtrade's offer by Canexus' board of directors and response thereto, further communication by Canexus' board of directors with shareholders, the possibility that an agreement will be reached or that a transaction will be consummated. The use of the words "expects", "anticipates", "continue", "estimates", "projects", "should", "believe", "plans", "intends", "may", "will" or similar expressions are intended to identify forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in such forward-looking statements for a variety of reasons, including market and general economic conditions, future costs, treatment under governmental regulatory, tax and environmental regimes and the other risks and uncertainties detailed under "Risk Factors" in the Corporation's Annual Information Form filed on the Corporation's SEDAR profile at www.sedar.com. Management believes the expectations reflected in these forward-looking statements are currently reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon. Due to the potential impact of these factors, the 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, unless required by applicable law. Any financial outlook information contained in this news release about prospective results of operations, financial position or cash flows is based on assumptions about future events including economic conditions and proposed courses of action, based on Management's assessment of the relevant information currently available. Readers are cautioned that such financial outlook information contained in this news release should not be used for purposes other than for those for which it is disclosed herein.

Further information:
Dean R. Beacon
Senior Vice President, Finance and CFO
(403) 571-7300

Sarah Scott
Investor Relations
(403) 571-7397

Media contact:
Phoebe Buckland
Longview Communications Inc.
(416) 649 8008

Shareholder contact:
Kingsdale Shareholder Services
1-866-581-0507
contactus@kingsdaleshareholder.com

 

Source: marketwired.com

Other Press Releases