Global Development Resources, Inc.
TSX VENTURE : GDV.U

April 14, 2010 10:00 ET

Global Development Resources, Inc. Completes the Divestiture of Its Subsidiary

TORONTO, ONTARIO--(Marketwire - April 14, 2010) - Global Development Resources, Inc. (TSX VENTURE:GDV.U) (the "Company") announces that it has completed the divestiture of its wholly owned subsidiary, Global Development Resources, Inc. (USA) ("GDR USA") to GDR 2010 Restructure LLC., a company owned by a group of current shareholders of the Company led by the Company's CEO, Kent Smith (the "Purchasers"). GDR USA holds substantially all of the assets and liabilities of the Company.

The Company will remain a merchant banking organization. The Company currently trades in US dollars on the TSX Venture Exchange under the symbol GDV.U. Effective April 16, 2010 the Company's shares will commence trading in Canadian dollars on the NEX Board of the TSX Venture Exchange under the symbol GDV.H.

The Related Parties to the transaction are GDR 2010 Restructure LLC., a company owned by a group of current shareholders of the Company led by the Company's CEO, Kent Smith. The Purchasers own 20,451,419 shares of the Issuer and will tender back 20,451,419 shares to the Issuer as payment for the purchase of GDR USA. Kent Smith has resigned as CEO and resigned from the Board of Directors. The Company's senior officers are Gordon Ewart as Chairman and Chief Executive Officer, Chris Carmichael as Chief Financial Officer and Jennifer Robb as Secretary. The Directors of the Company are Gordon Ewart, Chris Carmichael and Alec Regis.

GC-Global Capital Corp., owner of 4,575,067 shares of the Issuer, owns 42.5% of the Company. Gordon Ewart and Chris Carmichael, Directors of the Issuer are officers and or directors of GC-Global Capital Corp.

The divestiture of GDR USA was approved on October 22, 2009, by special resolution of the shareholders of GDR. A material change report with further details on the transaction was filed with the Ontario Securities Commission on December 3, 2009 and can be found on SEDAR. The Company's outstanding share capital has been reduced to 10,769,387 common shares. 

There are no finder's fees payable on this transaction.

THIS NEWS RELEASE CONTAINS FORWARD-LOOKING STATEMENTS REGARDING THE TIMING AND CONTENT OF UPCOMING PROGRAMS AND MAY BE SUBJECT TO REGULATORY APPROVAL. ACTUAL RESULTS MAY DIFFER MATERIALLY FROM THOSE CURRENTLY ANTICIPATED IN SUCH STATEMENTS.

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.

Contact Information

  • Global Development Resources, Inc.
    Mr. Chris Carmichael
    CFO
    (416) 488-7760