Dear Friends
Action is required, over the next couple of days, I will ouline the issues and what we must do as shareholders.
Firstly, the real legal picture in relation to Fair Value.
Here below is an extract from a document that lawyers reference in relation to Fair Value.
Appraisal rights are a statutory right available under the
Canada Business Corporations Act,
R.S.C. 1985, c. C-44 (CBCA), the
Ontario Business Corporations Act, R.S.O. 1990, c. B.16 (OBCA) and most other provincial and territorial corporate statutes in Canada to shareholders who object to certain fundamental changes taken by a corporation, such as certain
amalgamations or other significant corporate transactions. This right allows dissenting shareholders to require the corporation to buy their shares at a price equal to their fair value immediately before the fundamental corporate action is taken.
Shareholders seldom exercise appraisal rights because of the time, expense and uncertainty involved in the process. However, if shareholders are fairly certain that the consideration in a transaction is not an accurate measure of the corporation’s value, they may seek this relief. A favourable appraisal proceeding may give shareholders a significantly larger payment for their shares than they would have otherwise received in the transaction.