Franworks Franchise Corp.

October 07, 2014 09:30 ET

Franworks Franchise Corp.: Ownership of Common Shares of Benev Capital Inc.

CALGARY, ALBERTA--(Marketwired - Oct. 7, 2014) - Franworks Franchise Corp. ("Franworks") announced today that it has filed an early warning report dated October 1, 2014 with respect to the ownership of common shares of Benev Capital Inc. ("BCI") by Original Joe's Franchise Group Inc. ("Original Joe's"). Original Joe's is a wholly-owned subsidiary of Franworks.

On September 26, 2014, BCI and Franworks completed a previously announced transaction pursuant to which BCI acquired an approximate $12 million annual top-line royalty from Franworks for a purchase price of approximately $103.0 million (the "Purchase Price"). Approximately $14.9 million of the Purchase Price was satisfied through the issuance to Original Joe's of 8,992,187 common shares of BCI at a value of $1.66 per share. The 8,992,187 common shares issued to Original Joe's represent approximately 16.9% of the issued and outstanding common shares of BCI. The securities of BCI were acquired for investment purposes. Franworks and Original Joe's may increase or decrease their ownership of securities of BCI depending upon future market conditions.

FOR FURTHER INFORMATION, OR TO OBTAIN A COPY OF THE EARLY WARNING REPORT FILED BY FRANWORKS UNDER APPLICABLE SECURITIES LEGISLATION, PLEASE VISIT WWW.SEDAR.COM OR CONTACT FRANWORKS AT (403) 263-4323.

Contact Information

  • Franworks Franchise Corp.
    (403) 263-4323