WINALTA RECEIVES UNANIMOUS CREDITOR APPROVAL OF PLAN OF ARRANGEMENT
CALGARY, Oct. 14 /CNW/ - Winalta Inc. (TSX-V - "WTA.A") ("Winalta" or the "Company") is pleased to announce that the Company in combination with its wholly owned subsidiaries Winalta Oilfield Rentals Inc., Winalta Carriers Inc. and Baywood Property Management Inc., have received approval of their proposed consolidated plan (the "Plan") from the affected creditors submitted to them pursuant to the provisions of the Companies' Creditors Arrangement Act ("CCAA"). At a meeting held on October 14, 2010, 100% of the creditors who hold unsecured debt affected by the Plan voted in favour of the Plan. Having obtained the requisite votes in each class, Winalta will seek a sanction order in respect of the Plan. The sanction hearing under the CCAA process is scheduled to occur on October 22, 2010 in the Court of Queen's Bench of Alberta, Judicial Centre of Edmonton (the "Court").
Under the Plan of Arrangement, creditors have been offered payment of 100% of their proven claim, such amount to be payable on the terms set forth in the Plan. The materials filed with the Court to date in the CCAA proceedings are available at www.deloitte.com under the Insolvency and Restructuring Proceedings link.
"We appreciate the support given by all of our creditors under the CCAA process for our plan of reorganization," stated Artie Kos, President and Chief Executive Officer. "The strength and ongoing profitability of our oilfield rentals business was a significant factor in enabling Winalta to progress to the stage in the CCAA process we now find ourselves. Upon exiting CCAA, we look forward to continued growth as a pure play oilfield rentals business."
Winalta Inc. is an Oilfield Rentals provider that leases portable industrial accommodations and catering services to the energy sector.
Winalta Inc. shares trade on the TSX Venture Exchange under the symbol "WTA.A".
Winalta Inc. is an Oilfield Rentals provider that leases portable industrial accommodations and catering services to the energy sector.
The TSX Venture Exchange has neither approved nor disapproved the contents of this news release. 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.
Certain statements included in this news release constitute "forward-looking information" within the meaning of applicable securities legislation, including the timing and continuance of CCAA protection, the timing of the meeting to approve the Plan of Arrangement and the completion of transactions related thereto. Such forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Winalta to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information.
Specifically, some of the material risks include the uncertainty involved in the Court proceedings and the implementation of the Plan of Arrangement under the CCAA.
The forward-looking information contained in this news release represents the expectations of Winalta as at October 14, 2010 and, accordingly, is subject to change after such date. However, Winalta expressly disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable law.
Neither the TSX Venture Exchange nor its Regulation Services Provide (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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For further information:
Artie Kos, President and Chief Executive Officer
Phone: (780) 960-6900
Fax: (780) 962-9523
Austin Fraser, Senior Vice President
Phone: (780) 960-6900
Fax: (780) 962-9523
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