Savary Capital Corp.

March 28, 2011 20:06 ET

Savary Completes Non-Brokered Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 28, 2011) - Savary Capital Corp. (the "Company" or "Savary") (TSX VENTURE:SCA.H) announces that it has closed the non-brokered private placement (the "Closing") previously announced on February 25, 2011, for proceeds of $750,000. Under the terms of the private placement, the Company issued 15 million common shares, at a price of $0.05 per common share. All shares issued in the private placement will be subject to a hold period expiring on July 29, 2011.

Effective on March 28, 2011, Harvey T. Lalach, Mansoor A. Anjum and Sanjay Sharma have resigned from the board of directors and Mr. Lalach has resigned from the positions of CEO and CFO of the Company. The board has been reconstituted to include Scott Ackerman, Robert Chisholm and Craig Goldenberger. Scott Ackerman has been appointed to the position of CEO, and Robert Chisholm has been appointed as CFO. 

Also at Closing, all existing stock options were cancelled, and a total of 1,750,000 stock options have been granted to the new directors, exercisable at $0.10 for a period of five years from date of grant. With the consent of the Exchange, an aggregate of 500,000 founder's shares held by the previous directors were transferred within escrow to the new directors. 

The Emprise Special Opportunities Fund, Limited Partnership (the "LP") subscribed for and acquired ownership and control of 3,250,000 common shares of the Company pursuant to the private placement.

As a result of the LP's subscription, the LP has ownership and direction or control over 3,250,000 common shares of the Company, representing 18.57% of the issued and outstanding common shares of the Company. Neither the Company nor, to the knowledge of the Company after reasonable inquiry, the LP, has knowledge of any material information concerning the Company or its securities which has not been generally disclosed.

The Company has been advised that the securities were purchased by the LP for investment purposes. In addition to the subscription in the private placement, the Company has been advised that securities of the Company may be acquired or disposed of, by the LP, through the market or otherwise, as circumstances or market conditions warrant. 

Proceeds of the private placement will be used to identify and evaluate qualifying transactions and for general working capital.

This news release includes forward-looking statements that are subject to risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward looking. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. We do not assume any obligation to update any forward-looking statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Savary Capital Corp.
    Scott Ackerman
    Director and CEO
    (778) 331-8505