Grey Horse Corporation

Grey Horse Corporation

May 15, 2006 17:46 ET

Grey Horse Announces Private Placement Financing

TORONTO, ONTARIO--(CCNMatthews - May 15, 2006) - Grey Horse Capital Corporation (TSX:GHC) ("Grey Horse") announces today that it has entered into an agreement with Dundee Securities Corporation ("Dundee"). Dundee has agreed on a best efforts basis to raise up to approximately $4.75 million by way of a private placement. This private placement is subject to TSX approval.

The private placement is also contingent upon federal regulatory approval of the continuance of Grey Horse's subsidiary, Equity Transfer Services Inc. ("Equity"), under the Trust and Loan Companies Act, as a Federal Trust company. The funds raised from the private placement will allow Grey Horse to meet federal regulatory capital requirements for Equity, to repay all of Grey Horse's funded debt and to provide additional working capital.

About Grey Horse

Through its wholly owned subsidiary, Equity Transfer Services Inc., Grey Horse Capital provides transfer services and related services to issuers in the North American capital markets. The Corporation's shares trade on the Toronto Stock Exchange under the symbol GHC, and as at May 15, 2006, there were 4,243,406 common shares outstanding common shares issued and outstanding.

Certain information included in this press release is forward-looking and may involve risks and uncertainties. The results or events predicted in these statements may differ materially from actual results or events. Factors that might cause a difference include, but are not limited to, competitive developments, risks associated with Grey Horse Capital's growth, the state of the financial markets, regulatory risks and other factors. Unless otherwise required by applicable securities laws, Grey Horse Capital disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. More detailed information about potential factors that could affect Grey Horse Capital's financial and business results is included in public documents Grey Horse Capital files from time to time with Canadian securities regulatory authorities.

The Toronto Stock Exchange has neither approved nor disapproved the contents of this press release.

Contact Information

  • Grey Horse Capital Corporation
    Kevin Reed
    President & CEO
    (416) 361-0930 x271
    Grey Horse Capital Corporation
    Paul G. Smith
    EVP & Chief Financial Officer
    (416) 361-0930 x270