MICC Investments Limited

February 26, 2008 16:05 ET

MICC Investments to be Privatized

TORONTO, ONTARIO--(Marketwire - Feb. 26, 2008) - MICC Investments Limited ("MICC") today announced that its major shareholder, CIGL Holdings Ltd. ("CIGL"), has proposed a going private transaction of MICC in which CIGL will offer to acquire all of the outstanding common shares ("Common Shares") of MICC not already owned by CIGL at a price of $2.55 per Common Share in cash, representing a total cash consideration of approximately $72.3 million.

The board of directors of MICC established a special committee of independent directors (the "Special Committee") to consider the proposed transaction and retained Koger Valuations Inc., an independent valuator, to provide a fairness opinion to the Special Committee. In its fairness opinion, Koger Valuations confirmed that the consideration offered under the proposed transaction is fair, from a financial point of view, to the minority shareholders of MICC.

Based on Koger Valuation's conclusions, among other matters considered, the Special Committee determined that the proposed transaction is in the best interests of MICC and is fair, from a financial point of view, to the minority shareholders of MICC. In light of the Special Committee's conclusions, the board of directors of MICC has unanimously approved the proposed transaction and recommends that shareholders vote in favour of the proposed transaction.

The transaction will be effected through an amalgamation of MICC and a newly incorporated company wholly-owned by CIGL. Pursuant to the amalgamation, each common shareholder of MICC, other than CIGL and its subsidiaries, will receive one redeemable preference share of the amalgamated company for each Common Share held immediately prior to the amalgamation. Each redeemable preference share will then be redeemed for $2.55 in cash.

A special meeting of shareholders of MICC as of the close of business on March 5, 2008 will be held on or about March 27, 2008 to consider the proposed transaction. The terms and conditions of the proposed transaction, including a copy of the fairness opinion prepared by Koger Valuations, will be detailed in a management information circular to be mailed to shareholders of MICC as soon as practicable.

About MICC Investments Limited

MICC Investments Limited is an investment holding company. Its principal business is the management of its investment portfolio, and pursuing investment opportunities in order to increase cash flow and enhance shareholder value.

About CIGL Holdings Ltd.

CIGL is an investment holding company that invests in a number of public and private corporations.

Contact Information

  • MICC Investments Limited
    Frank N.C. Lochan
    Chairman of the Board
    (416) 956-5187