Fareport Capital Inc.

Fareport Capital Inc.

March 27, 2007 16:59 ET

Fareport Capital Inc.-Update

TORONTO, ONTARIO--(CCNMatthews - March 27, 2007) - Fareport Capital Inc. ("Fareport" or the "Company") (TSX VENTURE:CAB) wishes to provide an update with regards to its compliance with Ontario Securities Commission("OSC") Policy 57-603.

Further to the Fareport news release dated March 12, 2007, the Company reports that there have been no new significant developments and that progress is still being made and discussions and negotiations continue with respect to a new financing arrangement with arms-length investors.

Although the basis of an agreement appears to be in sight, there can be no assurances of a successful conclusion. The refinancing will be subject to completion of agreements and shareholder and regulatory approval.

As part of the corporate restructuring, the Company has accepted Lou Elmaleh resignation as Chairman and CEO of the Company. Mr. Elmaleh also resigns from the board of directors. Both resignations take effect effective immediately.

The vacancy on the Company's Board of Directors is filled by Emlyn David. Mr. David is also appointed President of the Company. Mr.David's appointment as a Director and President are both effective immediately and subject to regulatory approval.

The Company is currently up to date with respect to its financial statements and management reporting. The unaudited financial statements for the three months ended October 31, 2006 and for October 31, 2005and related Management Discussion and Analysis have been filed on SEDAR.

Regarding the previously announced agreement to settle the civil claim against Fareport's former management, advisors and certain investors, the revised settlement agreement should be completed pending the execution of settlement documentation and mutual releases.

The temporary management and insider cease trade order (the "MCTO")imposed pursuant to OSC Policy 57-603 continues to be in effect. The MCTO prohibits present and certain past directors, officers and insiders of Fareport from trading in securities of Fareport.

Fareport will continue to provide updates on these and related matters in accordance with OSC Policy 57-603.

Fareport cannot guarantee that forward-looking statements contained in this news release will materialize. Nor is it possible for Fareport to commit itself to updating information about risks and other factors pertaining to its business that might appear in this or any other public disclosure documents.

Capitalization Report for Fareport Capital Inc
Shares Issued: 38056653
Shares Escrow: 0

TSX Venture closing price for Fareport Capital
Date: 2007/03/26
Closing Price: 0.015

Neither the TSX Venture Exchange, nor any other Regulatory Authorityhas approved or disapproved of the contents of this news release.

Contact Information

  • Fareport Capital Inc.
    Emlyn David
    (416) 750-1167 Ext. 400