Exceptional Technologies Fund 5 (VCC) Inc.
TSX VENTURE : XF

April 03, 2007 14:44 ET

ExFund 5 Completes Distribution of Securities Pursuant to Liquidation Plan

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - April 3, 2007) - On March 30, 2007, Exceptional Technologies Fund 5 (VCC) Inc. (the "Company") (TSX VENTURE:XF) completed the distribution of assets to its shareholders pursuant to the Plan of Liquidation approved by its shareholders on December 20, 2006, and as announced by press release dated February 28, 2007. The record date for the distribution was March 15, 2007. The total value of the in-kind distribution was $0.53 for each one share of the Company.

Delisting of the shares of the Company from the TSX Venture Exchange and dissolution of the Company, in accordance with section 314(1)(a) of the Business Corporations Act (British Columbia), are expected to occur on or before April 16, 2007. The services of the Company's transfer agent, Computershare Investor Services Inc., will also be terminated upon dissolution of the Company.

Assets distributed and Custodian Agreement

The distribution to shareholders included a total of 1,175,000 common shares of TIR Systems Ltd. and 4,010,058 common shares of Vigil Health Solutions Inc., distributed pro-rata to shareholders of the Company. TIR is publicly-traded on the Toronto Stock Exchange (symbol: TIR), and announced on March 13, 2007 that it proposed to enter into an arrangement agreement with Philips Electronics Ltd. whereby Philips would acquire 100% of the outstanding shares of TIR at a price of $1.60 per share in cash. Further information regarding TIR may be obtained by contacting Caren Holtby, Investor Relations Manager, at 604-473-2318, or at www.sedar.com or at www.tirsys.com. Vigil is publicly-traded on the TSX Venture Exchange (symbol: VGL); further information regarding Vigil may be obtained by contacting Michelle Leduc, Corporate Affairs, at 1-877-850-1122, local 242, or at www.sedar.com or at www.vigil.com.

The distribution to shareholders also included a "receipt" evidencing the remaining non-liquid assets ("Residual Assets") of the Company beneficially owned by shareholders, including securities of private investee companies, IDELIX Software Inc. and Tantalus Systems Corp. As proceeds are available from the liquidation of these Residual Assets, they will be distributed on a pro-rata basis to former shareholders (as of the March 15, 2007 record date), after paying the outstanding liabilities and any expenses or withholdings under the Custodian Agreement described below.

On March 30, 2007, the Company also entered into a Custodian Agreement with Discovery Capital Management Corp. ("Discovery Capital"), the former manager of the Company, whereby Discovery Capital is holding legal title to the Residual Assets on behalf of the former shareholders of the Company and will perform the services as set out thereunder, including maintaining a register of the former shareholders of the Company and making distributions of proceeds realized from the disposition of Residual Assets, as provided under the Custodian Agreement. Under the terms of the Custodian Agreement, Discovery Capital may vote those of the Residual Assets that have voting rights while they are being held in custody, but is not obligated to monitor the financial and operating performance of the Residual Assets or report thereon to former shareholders of the Company.

Mailing of share certificates

Certificates representing the assets distributed are being mailed during the first week of April. Registered shareholders will receive certificates for their TIR shares and Vigil shares and their Residual Assets receipts in the mail at the last mailing address for them listed by the Company's transfer agent. Shareholders who held shares of the Company beneficially through accounts at their brokers will see receipt of these securities reflected in their accounts.

Registered shareholders should advise Discovery Capital at 5th Floor, 1199 West Hastings Street, Vancouver, BC V6E 3T5 - 604-683-3000 ext 107 - info@discoverycapital.com of any change in mailing address.

Harry Jaako, President

This news release includes statements about expected future events that are forward-looking in nature and subject to risks and uncertainties. Future events and results may vary substantially from what the Company currently foresees.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Discovery Capital Corporation
    Harry Jaako
    Co-CEO
    (604) 683-3000 ext. 105
    or
    Discovery Capital Corporation
    John McEwen
    Co-CEO
    (604) 683-3000 ext. 106
    or
    Discovery Capital Corporation
    Charles Cook
    CFO
    (604) 683-3000 ext. 102
    (604) 662-3457 (FAX)
    Email: info@discoverycapital.com
    Website: www.discoverycapital.com