Royal Laser Corp.
TSX : RLC

Royal Laser Corp.

September 08, 2008 18:18 ET

Royal Laser Corp. Retains Financial Advisor to Consider Strategic Alternatives

TORONTO, ONTARIO--(Marketwire - Sept. 8, 2008) - Royal Laser Corp. (the "Company" or "Royal Laser") (TSX:RLC) today announced that Genuity Capital Markets has been engaged as financial advisor to assist the Special Committee of Royal Laser in considering the unsolicited offer from Jaguar Financial Corporation ("Jaguar") and to advise on alternatives for maximizing value for Royal Laser shareholders.

The Special Committee of the Board of Directors has reviewed the take over bid circular filed by Jaguar and expects to send a directors circular to its shareholders containing the Board's detailed response to the bid shortly. The Committee does note the following unusual and unfavourable terms of the offer:

- The Jaguar offer is highly conditional and not a firm offer. The undefined and subjective nature of many of the conditions effectively gives Jaguar the option not to proceed with the offer. Jaguar has included a due diligence condition to its offer which is highly unusual and which gives Jaguar the ability to walk away from the offer at its discretion.

- The Jaguar offer is a coercive partial bid. The Jaguar offer is a "partial bid". A partial bid structure is inherently coercive because it requires shareholders to make a decision without knowing whether and to what extent other shareholders will accept such offer and without the ability to know the price at which the shares (which are not tendered or are returned to shareholders as a result of proration) will trade after such offer.

The Company continues to encourage shareholders to take no action with respect to the hostile take over bid.

About Royal Laser Corp.

Royal Laser Corp., through its wholly-owned operating subsidiaries, services steel and manufactures custom wood and metal products targeted at the multi-billion dollar automotive, high-end retail in-store development, the OEM industrial products and construction industries, in Canada, the United States and overseas. Royal Laser Corp. employs state of the art industrial technology to process steel, fabricate custom and standardized wood and metal products, including robotic wood finishing lines, advanced laser-based computer-integrated manufacturing systems and advanced stamping presses. In addition to contract manufacturing services, Royal Laser provides value-added engineering and design services. The Corporation's common shares trade on the Toronto Stock Exchange under the symbol "RLC" and there are approximately 98,887,000 shares outstanding.

For further information on the Corporation, please visit SEDAR at www.sedar.com.

To receive Company news by email, please contact info@royallaser.com and specify "Royal Laser news" in the subject line.

Forward-Looking Statements

Certain statements contained in this press release include statements which contain words such as "anticipate", "could", "should", "expect", "seek", "may", "intend", "likely", "will", "believe" and similar expressions, statements relating to matters that are not historical facts, and such statements of our beliefs, intentions and expectations about development, results and events which will or may occur in the future, constitute "forward-looking information" within the meaning of applicable Canadian securities legislation and are based on certain assumptions and analysis made by us derived from our experience and perceptions. All such forward-looking information is based on certain assumptions and analyses made by us in light of our experience and perception of historical trends, current conditions and expected future developments, as well as other factors we believe are appropriate in the circumstances. The risks, uncertainties, and assumptions are difficult to predict and may affect operations, and other factors, many of which are beyond our control, and are as discussed under the heading "Trends, Risks and Uncertainties" and in the Annual Information Form of Royal Laser dated June 27, 2008 and filed on SEDAR at www.sedar.com, as well as Royal Laser's periodic reports filed with the Ontario Securities Commission and other regulatory authorities. Actual results, performance or achievements could differ materially from those expressed in, or implied by, this forward-looking information and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking information will transpire or occur, or if any of them do so, what benefits will be derived therefrom. Except as required by law, Royal Laser Corp. disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. The forward-looking information contained herein is expressly qualified by this cautionary statement.

The Toronto Stock Exchange does not accept responsibility for the adequacy or accuracy of this release.

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