Selwyn Resources Responds to Press Release from Samara Capital Regarding Purported Meeting of Shareholders
VANCOUVER, BRITISH COLUMBIA--(Marketwired - April 22, 2013) - Selwyn Resources Ltd. (TSX VENTURE:SWN) ("Selwyn" or the "Company") responds to the press release issued by Samara Capital Inc. ("Samara") relating to a meeting of shareholders that Samara purported to conduct following the completion of Selwyn's special meeting of shareholders that was held today (the "Special Meeting").
The only business conducted at the Special Meeting was the approval by special resolution of the previously announced sale of the Company's remaining 50% interest in the Selwyn Project (the "Transaction") to its joint venture partner, Chihong Canada Mining Ltd. Following the vote on the Transaction, the Special Meeting was terminated.
Samara's press release indicates that it conducted its own meeting (the "Samara Meeting"), purportedly of Selwyn shareholders, following the completion and termination of the Special Meeting. The Company does not recognize the Samara Meeting. The Samara Meeting was not validly called, nor was proper notice given, and the Samara Meeting was invalid at law and has no legal effect. Any actions purportedly taken at the Samara Meeting are therefore invalid.
Despite what Samara claims in its press release, there has been no change in the board of directors of Selwyn. The annual meeting matters for the Company will be considered on a date and time to be determined by the board of directors of the Company.
The Company remains open to options that upon proper and full review will result in the greatest return to and in the best interests of all Selwyn shareholders and stakeholders. In assessing and implementing such options, the Company will be guided by the views of its shareholders. As disclosed by the Company on April 19, 2013, until such time as all shareholders are provided with additional information regarding the options available to the Company, and until shareholders have voted on the annual meeting matters at a valid meeting of Selwyn shareholders, the Company will not use the net sale proceeds from the Transaction to fund any material capital expenditures related to the restart of ScoZinc Mine.
Dr. Harlan Meade, President, Chief Executive Officer and a director of the Company, stated: "We are disappointed that Samara Capital would act in this manner. We feel that all shareholders should be part of a fulsome discussion of the options available to the Company, and there must be adequate time for all shareholders to be part of such discussion. The actions taken by Samara today are not consistent with providing shareholders with full information and sufficient time in which to consider such information."
Neither 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.
