Discovery Capital Corporation

Discovery Capital Corporation

September 26, 2007 19:47 ET

Discovery Capital Completes Liquidating Distribution

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 26, 2007) - Discovery Capital Corporation ("Discovery") (TSX VENTURE:DVY.Y) has made its liquidating distribution to its shareholders, effective September 14, 2007. As announced in Discovery's August 24, 2007 press release, the record date for the liquidating distribution was September 11, 2007.

The total value of the liquidating distribution is $0.2354 for each one share of Discovery, comprised of $0.1575 cash and $0.0779 in respect of a "receipt" representing shareholders' beneficial interests in certain illiquid and other portfolio assets of Discovery ("Residual Assets"). Cheques for the cash portion of the liquidating distribution and the receipts are currently being sent to shareholders. Registered shareholders will receive their cheques and receipts at the last mailing address for them listed by Discovery's transfer agent. Shareholders who held Discovery shares beneficially through accounts at their brokers will see receipt of the cash and receipts reflected in their brokerage accounts.

Discovery Capital Management Corp., which is now owned by current senior management of Discovery, is custodian of the Residual Assets represented by the receipts. On September 14, 2007, Discovery entered into a Custodian Agreement with Discovery Capital Management Corp. ("DCMC") whereby DCMC is holding legal title to the Residual Assets on behalf of the former shareholders of the Company and will perform the services as set out thereunder, including maintaining a register of the former shareholders of the Company and making distributions of proceeds realized from the disposition of Residual Assets, as provided under the Custodian Agreement. Under the terms of the Custodian Agreement, Discovery Capital may vote those of the Residual Assets that have voting rights while they are being held in custody, but is not obligated to monitor the financial and operating performance of the Residual Assets or report thereon to former shareholders of the Company.

Delisting of the shares of the Company from the TSX Venture Exchange and dissolution of the Company, in accordance with section 314(1)(a) of the Business Corporations Act (British Columbia) are expected to occur on or about September 30, 2007. The services of the Company's transfer agent, CIBC Mellon Trust Company, will also be terminated upon dissolution of the Company.

John McEwen, President and Co-Chief Executive Officer

Harry Jaako, Chairman and Co-Chief Executive Officer

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Discovery Capital Corporation
    John McEwen
    President and Co-CEO
    (604) 683-3000 ext. 106
    Discovery Capital Corporation
    Harry Jaako
    Chairman and Co-CEO
    (604) 683-3000 ext. 105
    Discovery Capital Corporation
    Charles Cook
    (604) 683-3000 ext. 102
    (604) 662-3457 (FAX)