TORONTO, ONTARIO--(Marketwired - Dec. 13, 2016) - China Wind Power International Corp. (the "Company") is pleased to announce that it has completed the previously announced sale of all or substantially all of the Company's assets to Ruihao Trust ("Ruihao"), a major shareholder of the Company, for $12,310,000 (the "Purchase Price") by way of a plan of arrangement (the "Arrangement") under the Business Corporations Act (Ontario) (the "OBCA").
The Purchase Price was satisfied in full by Ruihao by assuming certain liabilities in the amount of $3,728,104.18, and by payment of $2,858,799.08 in cash and $5,723,096.74 as an interest bearing promissory note (the "Promissory Note").
After payment of all or substantially all of any remaining liabilities, the remaining balance of the Purchase Price will be distributed to shareholders of the Company (the "Shareholders") by way of a return of capital allocated to the common shares of the Company through the distribution of the Promissory Note to Ruihao and the distribution of cash to all other Shareholders. Each Shareholder, other than Ruihao, can expect to receive a cash distribution in the amount of $0.1314 per common share of the Company held.
The Arrangement was approved by the Ontario Superior Court of Justice (Commercial List) on October 18, 2016. The Company expects to voluntarily dissolve pursuant to section 237(a) of the OBCA (the "Dissolution") as soon as practicable. For additional information on the Arrangement and the Dissolution, please refer to the Company's July 29, 2016 press release and the Company's management information circular dated August 23, 2016, both of which are available under the Company's profile at www.sedar.com.
Forward-Looking Statement Disclaimer
Certain statements that are not historical facts made in this press release may be "forward-looking statements" within the meaning of applicable Canadian securities legislation (forward-looking information and forward-looking statements being collectively herein after referred to as "forward-looking statements") and are subject to risks and uncertainties. Statements containing words such as "will", "could", "expect", "may", "anticipate", "believe", "intend", "estimate", "plan" and other similar expressions are forward-looking statements that represent management's beliefs at the time the statements are made and are based on certain factors and assumptions. Such forward-looking statements may include, without limitation, statements regarding the expected return of capital to Shareholders and the Dissolution.
These forward-looking statements are subject to a variety of risks and uncertainties and other factors that could cause actual events to differ materially from those projected in forward-looking statements. Important factors that could cause actual results to differ materially from the Company's expectations include uncertainties regarding the completion of the Dissolution, the expected benefits of the Arrangement to the Shareholders, and receipt of the necessary regulatory approvals and other risks and uncertainties as more fully described in the Company's regulatory filings with the securities regulatory authorities, which are available under the Company's profile at www.sedar.com. Readers are cautioned that the foregoing lists of risks, uncertainties, assumptions and other actors are not exhaustive; therefore, readers should not place undue reliance on the forward-looking statements contained herein. Except as required by applicable securities laws, the Company undertakes no obligation to update any forward looking statement to reflect events or circumstances after the date on which such statement is made.