Grey Horse Corporation
TSX : GHC

Grey Horse Corporation

July 02, 2008 17:20 ET

Grey Horse Corporation Purchases Toro FX Inc.

TORONTO, ONTARIO--(Marketwire - July 2, 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 today finalized its previously announced agreement 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. 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 periods following the closing of the transaction today. Forty per cent (40%) of the agreed purchase price, as adjusted, will be paid by means of the issuance of Grey Horse common shares from treasury. The numbers of shares to be issued as indicated below have been calculated based on 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, which is calculated to be $8.039 per common share.

33,582 common shares are being issued today and are subject to an escrow agreement pursuant to which they will be released on November 2, 2008. Subject to adjustments based on the achievement of the previously mentioned financial performance conditions a further 22,605 common shares will be issued within five business days of the finalization of Grey Horse's financial statements as at December 31, 2008, a further 85,014 common shares will be issued within five business days of the finalization of Grey Horse's financial statements as at June 30, 2009 and a further 102,600 common shares will be issued within five business days of the finalization of Grey Horse's financial statements as at June 30, 2010.

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.

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 www.greyhorsecorp.com.

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
    or
    Grey Horse Corporation
    Paul G. Smith
    EVP & CFO
    (416) 361-0930
    Website: www.greyhorsecorp.com