CIT Financial Ltd.

April 15, 2013 09:57 ET

Further Update on Pledge of Trimel Shares

NEW YORK, NEW YORK--(Marketwired - April 15, 2013) -

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES

CIT Financial Ltd. ("CIT"), in its capacity as administrative agent to a syndicate of lenders (collectively, the "Lenders"), announced today that in connection with its press releases dated March 21, 2013 and April 5, 2013 the Lenders have agreed with Mr. Melnyk to refrain from exercising any voting or disposition rights with respect to the 53,478,965 common shares (the "Pledged Shares") in the capital of Trimel Pharmaceuticals Corporation ("Trimel") that have been pledged by Mr. Melnyk in favour of the Lenders until April 15, 2013, subject to earlier termination of such forbearance under certain circumstances. The Lenders believe that the Pledged Shares currently represent approximately 58.9% of the issued and outstanding common shares in the capital of Trimel.

In essence the suspension of the voting and disposition rights is conditioned upon the continued satisfaction of certain conditions by Mr. Melnyk (which may be waived by the Lenders) and the completion of the refinancing, all focussed on the Lenders being paid in full on or before April 15, 2013.

If the refinancing is not completed as contemplated, then in connection with any disposition of the Pledged Shares, the Lenders may seek to design and implement a sales process. The Pledged Shares may, depending on market and other conditions, be retained or disposed of, whether in the open market, by privately negotiated agreement or otherwise, at one or more prices that may be above, at or below the current trading price of the common shares in the capital of Trimel on the TSX.

CIT is located at 207 Queens Quay West, Suite 700, Toronto, ON M5J 1A7. A copy of the early warning report can be obtained from Andrew Bella (Tel: 212 771 9341) or on Trimel's profile at www.SEDAR.com.

Contact Information

  • Andrew Bella
    212 771 9341