Alex Blyumkin

November 21, 2013 16:30 ET

Alex Blyumkin Announces Agreement to Acquire Common Shares and Warrants of MCW Energy Group Limited

TORONTO, ONTARIO--(Marketwired - Nov. 21, 2013) - Alex Blyumkin, a director and officer of MCW Energy Group Limited (TSX VENTURE:MCW) (the "Corporation"), has filed an early warning report (the "Report") announcing that he has agreed to acquire 1,861,446 common shares in the capital of the Corporation ("MCW Shares") from the David & Mila Sutton Trust and warrants exercisable for 500,000 MCW Shares from David Sutton indirectly through the Alex and Polina Blyumkin Family Trust (the "Trust"). Upon exercise of the warrants into 500,000 MCW Shares, the common shares and warrants would represent approximately 5.56% of the currently issued and outstanding MCW Shares. Notwithstanding the foregoing, Mr. Sutton will remain as President and a director of the Corporation until such time as the transfer is completed.

The purchase price for the securities to be acquired is US$3,500,000 (CDN$3,655,750 based on the Daily Noon Exchange Rate by the Bank of Canada on November 20, 2013 of US$1.00 = CDN$1.0445) and is payable by the Trust on or before November 7, 2014. Ownership of the securities will be transferred privately from the David & Mila Sutton Trust and David Sutton (and not over any market) at such time as the purchase price is paid and all applicable regulatory and exchange approvals are received.

Mr. Blyumkin currently holds, directly or indirectly, beneficial ownership of, or the power to exercise control or direction over, 1,861,446 MCW Shares, warrants exercisable for 500,000 MCW Shares and stock options exercisable for 1,000,000 MCW Shares, representing (assuming full exercise of the options and warrants) approximately 7.73% of the currently issued and outstanding MCW Shares.

Immediately following the acquisition, Mr. Blyumkin will hold, directly or indirectly, beneficial ownership of, or the power to exercise control or direction over, 3,722,892 MCW Shares, warrants exercisable for 1,000,000 MCW Shares and stock options exercisable for 1,000,000 MCW Shares, representing (assuming full exercise of the options and warrants) approximately 13.01% of the currently issued and outstanding MCW Shares.

The common shares and warrants will be acquired for investment purposes. Alex Blyumkin and the Trust may increase or reduce their investment in the Corporation according to market conditions or other relevant factors.

For further details relating to the acquisition, please see the Report, a copy of which is available under the Corporation's profile on the SEDAR website at www.sedar.com or may be obtained from Alex Blyumkin at c/o Alon HaCohen, TQM Law Corporation, 1801 Century Park E, Suite 2400, Los Angeles, California, 90067, (310) 844 6968, alon@TQMLaw.com.

Contact Information

  • MCW Energy Group Limited
    TQM Law Corporation
    Alex Blyumkin at c/o Alon HaCohen
    (310) 844 6968
    alon@TQMLaw.com