Grey Horse Corporation

Grey Horse Corporation

June 18, 2008 10:54 ET

Grey Horse Corporation Enters Into Agreement to Purchase Toro FX Inc.

TORONTO, ONTARIO--(Marketwire - June 18, 2008) - Grey Horse Corporation (TSX:GHC) ("Grey Horse" or "the Corporation"), a Canadian financial services company serving the corporate and institutional market, is pleased to announce that it has entered into an agreement, effective July 2, 2008, to purchase all of the shares of Toro FX Inc. ("ToroFX"), a privately owned Canadian corporation providing foreign exchange services to a varied client base. The agreement remains subject to the satisfaction of certain terms and conditions normally found in share purchase agreements of this nature. ToroFX was founded in 2006 and its head office is located in Toronto, Ontario. The agreed purchase price for the transaction is $4,900,000, subject to adjustments based on the achievement of certain financial performance conditions within the six, twelve and twenty four month period following the closing date of the transaction. Forty per cent (40%) of the adjusted purchase price will be paid by means of the issuance of Grey Horse common shares from treasury. The issued shares will be valued at the weighted average closing price of the common shares on the Toronto Stock Exchange ("TSX") for the ten (10) trading days immediately preceding July 2, 2008 and are subject to TSX approval of the share issuance. The majority of the issued shares will be placed in escrow and released to the vendors based on the achievement of certain financial performance conditions within the twelve and twenty four month period following the closing date of the transaction.

ToroFX provides, among other services, spot transactions, options, international wires, payment tracking and one on one foreign exchange consulting to its customers, who range from individuals to corporations and from hedge funds to small banks.

Grey Horse President and CEO Kevin Reed said, "We are very pleased with this acquisition as we expect that ToroFX's client focus and expertise will complement, strengthen and expand the foreign exchange services offered to the client base of our principal subsidiary, Equity Transfer & Trust Company. We believe this to be an excellent transaction for our clients and shareholders alike."

ToroFX President Mike Stark said, "We are very excited about the synergies that exist between ToroFX and Equity Transfer & Trust Company, a well-regarded Canadian financial services company. This transaction is a timely and welcome next step in ToroFX's evolution in the foreign exchange marketplace."

About Grey Horse

Through its wholly owned subsidiaries, Grey Horse provides transfer agent, corporate trust, corporate secretary, foreign exchange and limited market dealer services to corporations in North American capital markets. Learn more at

Certain information included in this press release may be forward-looking and involve risks and uncertainties. The results or events predicted in these statements may differ materially from actual results or events. Factors that might cause a difference include, but are not limited to, competitive developments, risks associated with Grey Horse's growth, the state of the financial markets, regulatory risks and other factors. Unless otherwise required by applicable securities laws, Grey Horse disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. More detailed information about potential factors that could affect Grey Horse's financial and business results is included in public documents Grey Horse files from time to time with Canadian securities regulatory authorities.

The Toronto Stock Exchange has neither approved nor disapproved the contents of this press release.

Contact Information

  • Grey Horse Corporation
    Kevin Reed
    President & CEO
    (416) 361-0930
    Grey Horse Corporation
    Paul G. Smith
    EVP & CFO
    (416) 361-0930