another lawsuit BENEV Capital Inc. (TSX:BEV) (the "Company" or "BCI") announced today
that the Toronto Stock Exchange (the "TSX") has determined that,
following the sale of BCI's waste treatment plant in Saint Ambroise,
Quebec, it no longer meets the TSX's requirements for continued listing.
Accordingly, BCI intends to apply in the near future to the TSX Venture
Exchange, and/or its NEX Division, to list its common shares, and plans
to voluntarily delist from the TSX. BCI will seek to minimize any time
gap between the TSX delisting and obtaining a new listing. There can be
no assurance, however, that a new listing will be obtained or, if so,
when.
The Company has significant cash resources, amounting to approximately
$71 million as at June 17, 2013, and continues to seek to source,
structure and complete one or more transactions designed to transform the
Company and create meaningful value for shareholders. Such transactions
may involve, among other things, one or more of an acquisition, a merger,
a strategic investment. A return of capital, special dividend and/or
dissolution may also be considered. The sale of the plant was the first
step in this direction, and the Company believes it will increase its
range of options and provide it with enhanced flexibility on a go forward
basis. In the meantime, the Company intends to manage its cash
conservatively, reduce its expenses where appropriate and remain prudent
and patient.
If in the meantime a transaction is sourced, BCI reserves the right to
request the TSX to reconsider its decision.
In addition, the Company announced today that Mr. John Bennett, who is
involved in various litigation proceedings with the Company and who has
been personally charged and indicted in the United States for conspiracy
to provide kickbacks and defraud the United States (and who the United
States Department of Justice is seeking to extradite due to his apparent
unwillingness to appear voluntarily), is seeking to bring new claims
against the Company. Mr. Bennett has changed his legal counsel, is
seeking to bring proceedings in the Ontario court claiming defamation and
other wrongs, and is seeking damages of $30 million plus interest and
costs (including $5 million in punitive damages). BCI plans to vigorously
contest Mr. Bennett's latest claims, which it believes to be entirely
without foundation, abusive and improper.