Capital BLF Inc.

March 20, 2008 18:28 ET

Capital BLF Inc. Confirms Closing Date of Previously Announced Qualifying Transaction

MONTREAL, QUEBEC--(Marketwire - March 20, 2008) - Capital BLF Inc. (TSX VENTURE:BLF.P) (the "Corporation"), a capital pool company listed on the TSX Venture Exchange (the "Exchange"), confirmed today that its previously announced Qualifying Transaction is scheduled to close on or about March 31, 2008 (the "Closing").

The Qualifying Transaction of the Corporation will consist in the acquisition of two contiguous multi-residential properties located respectively at 3465 and 3475 Ridgewood Avenue, in Montreal, Province of Quebec for an aggregate purchase price of $5.035 M (subject to customary adjustments) (the "Acquisition") and the concurrent completion of a private placement for minimum gross proceeds of $2,000,000 and for maximum gross proceeds of $7,500,000 (the "Offering"). The Corporation intends to use the net proceeds of the Offering to satisfy the cash portion of the purchase price of the Acquisition, to identify and evaluate additional properties and to satisfy (in whole or in part) the purchase price for subsequent acquisitions.

At the time of its Qualifying Transaction, the Corporation will implement a stock option plan and grant options to its directors upon Closing.

Additional information concerning the Qualifying Transaction is available in the Corporation's Filing Statement, which was filed on SEDAR today in accordance with the policies of the Exchange. The Corporation also filed on SEDAR its audited annual financial statements for the period ended December 31, 2007.

The Corporation has entered into agreements to complete the Acquisition and the Offering that are intended to serve as its Qualifying Transaction under Exchange Policy 2.4 - Capital Pool Companies. Until the completion of its Qualifying Transaction, which is subject to the final approval of the Exchange, the Corporation will not commence commercial operations or have assets other than cash. The principal business of the Corporation currently consists of working towards the completion of its Qualifying Transaction and identifying and evaluating additional properties for future acquisition or investment.

The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this press release.

Contact Information

  • Capital BLF Inc.
    Mr. Pierre L .Martel
    Chief Financial Officer and Secretary