TORONTO, ONTARIO--(Marketwire - April 19, 2012) - Eurotin Inc. (TSX VENTURE:TIN.V - News) ("Eurotin" or the "Company") is pleased to announce that its board of directors has approved the adoption of a shareholder rights plan (the "Rights Plan") designed to encourage the fair and equal treatment of shareholders in connection with any take-over bid for the Company's outstanding securities.
The purpose of the Rights Plan is to provide shareholders and the Company's board of directors with adequate time to consider and evaluate any unsolicited bid made for the Company, to provide the board with adequate time to identify, develop and negotiate value-enhancing alternatives to any such unsolicited bid, to encourage the fair treatment of shareholders in connection with any take-over bid for the Company and to ensure that any proposed transaction is in the best interests of the Company's shareholders. The Company is not currently aware of any proposed take-over bids.
The Rights Plan is similar to plans adopted by other Canadian companies. Under the terms of the Rights Plan, one right (a "Right") will be issued by the Company in respect of each outstanding common share of the Company and in respect of each common share subsequently issued. The Rights issued will become exercisable only if a person (together with its affiliates, associates and joint actors) acquires 20% or more of the Company's common shares without complying with the "Permitted Bid" provisions of the Rights Plan, or without the approval of the Company's board of directors.
"Permitted Bids" under the Rights Plan must be made to all holders of the Company's common shares and must be open for acceptance for a minimum of 60 days. If at least 50% of the outstanding common shares have been tendered and not withdrawn after 60 days, the bidder may take-up the shares, but must make a public announcement of that take-up and extend the bid for a further 10 days to allow other shareholders to tender to the bid.
Although effective as of today, the Rights Plan is subject to ratification by the Company's shareholders at the next annual meeting of shareholders. If the Rights Plan is not ratified at the next annual shareholder's meeting, the Rights Plan and all of the Rights outstanding at that time will terminate.
A copy of the Rights Plan is available to the public for viewing on SEDAR at www.sedar.com under the Company's profile.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.