Oakwest Corporation Limited

May 31, 2013 16:05 ET

Oakwest Corporation Limited Announces Acquisition of Common Shares of Rainmaker Entertainment Inc.

TORONTO, ONTARIO--(Marketwired - May 31, 2013) - Oakwest Corporation Limited ("Oakwest") has filed an early warning report (the "Report") announcing that, on May 29, 2013, it acquired ownership and control over 1,775,614 common shares (the "Acquired Shares") of Rainmaker Entertainment Inc. (TSX:RNK) (the "Corporation"), being approximately 10.15% of the currently issued and outstanding common shares ("Shares") of the Corporation. The Acquired Shares were acquired pursuant to a share purchase agreement dated May 29, 2013 between Oakwest and The McElvaine Investment Trust.

Immediately following the acquisition, Oakwest owns (i) 1,817,114 Shares, representing 10.39% of the currently issued and outstanding Shares (on a non-diluted basis), and (ii) $164,000 principal amount of unsecured convertible debentures (the "Debentures"). Such Debentures mature on March 31, 2016 (the "Maturity Date") and are convertible at any time prior to the Maturity Date into an aggregate 820,000 Shares at a price of $0.20 per Share. Assuming full conversion of the Debentures, Oakwest would exercise direction and control over an aggregate of 2,637,114 Shares, representing 14.41% of the then issued and outstanding Shares (on a partially diluted basis).

The Acquired Shares were acquired for investment purposes. Oakwest has a long-term view of the investment and does not intend at this time to acquire additional Shares, but may acquire additional Shares either on the open market or through private acquisitions or sell the Shares either on the open market or through private dispositions in the future depending on market conditions, reformulation of plans and/or other relevant factors.

For further details relating to the acquisition, please see the Report, a copy of which is available on SEDAR. A copy of the Report may also be obtained by contacting Mr. Beutel at 416.932.6300.

Contact Information

  • Robert Beutel
    416.932.6300