Bay Equities Inc.

Bay Equities Inc.

August 16, 2007 15:34 ET

Bay Equities Inc. Approves Going Private Transaction

EDMONTON, ALBERTA--(Marketwire - Aug. 16, 2007) - Bay Equities Inc. (TSX VENTURE:BEQ) (the "Corporation") today announced that the Shareholders of the Corporation have approved the "going private transaction" by way of amalgamation of the Corporation with 1289167 Alberta Ltd. ("1289167") at a Special Meeting of the Shareholders held August 15, 2007. Approximately 9,188,856 or 43.5 % of the total Shareholders were represented in person or by Proxy at the Special Meeting and they approved the "going private transaction".

Under the terms of the proposed "going private transaction" the Corporation is to amalgamate with 1289167 effective September 1st, 2007 (the "Amalgamation"). Pursuant to the Amalgamation, Shareholders of the Corporation (other than the "Principal Shareholders" as defined and Shareholders who choose to exercise dissent rights in respect of the Amalgamation) will receive one Series "A" Preferred Non-Voting share ("Amalco Series "A" Redeemable Preferred Share") of the corporation resulting from the amalgamation ("Amalco") for each Common share of the Corporation that they own. As soon as practical after the effective date of the Amalgamation, Amalco will redeem each Amalco Series "A" Redeemable Preferred Share for $0.32 in cash. The completion of the Amalgamation and the redemption of the Amalco Series "A" Redeemable Preferred Shares will result in Amalco becoming a private issuer and continuing under the name "Bay Equities Inc.".

On completion of the amalgamation it is intended that Amalco will be delisted from the TSX Venture Exchange (the "TSXV"). Amalco will apply to have its Common shares delisted from the TSXV subject to filing and review of final documents by the TSXV.

Registered Shareholders of the Corporation who have not already done so are asked to submit their shares to the register and transfer agent of the Corporation, Computershare Trust, as soon as possible together with their duly completed Letter of Transmittal in order to obtain their redemption proceeds. Non-registered Shareholders should consult their brokers.

The Corporation's primary business is the control of its subsidiaries, Bay Drywall Inc. and Glennard Developments Inc. The Corporation intends to continue with its primary business.

The Corporation has 21,120,000 Common shares issued and outstanding.

The TSXV has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Bay Equities Inc.
    Roy Bayliss
    President and Secretary
    (780) 466-3128
    Bay Equities Inc.
    John Johnston
    Chief Financial Officer
    (780) 466-3128