Telehop Communications Inc.
TSX VENTURE : HOP

Telehop Communications Inc.

July 08, 2011 15:37 ET

Telehop Communications Inc. Announces A Rights Offering

TORONTO, ONTARIO--(Marketwire - July 8, 2011) - Telehop Communications Inc. (TSX VENTURE:HOP) ("Telehop" or the "Company") today announced its intention to file a rights offering circular (the "Rights Offering Circular") with the TSX Venture Exchange (the "TSX-V") and the securities regulators in respect of a rights offering to raise net proceeds of approximately $334,775 (the "Offering").

Under the Offering, each registered holder of Shares as of a record date to be determined in conjunction with the TSX-V will receive one right (a "Right") for each Share held. Four Rights plus the sum of $0.10 (the "Subscription Price") are required to subscribe for one Common Share (the "Basic Subscription Privilege"). The Rights will expire on a date to be announced (the "Expiry Date"), after which unexercised Rights will be void and without value. The Rights will be listed on the TSX-V. Shareholders who fully exercise their Rights may subscribe pro-rata for any additional Shares not otherwise subscribed for before the Expiry Date (the "Additional Subscription Privilege").

To subscribe for Shares, a completed Rights certificate, together with payment in full of the Subscription Price for the Shares subscribed for, must be received by the subscription agent for the Offering, Equity Financial Trust Company (the "Subscription Agent"), before the Expiry Date.

No Rights will be issued to shareholders who are residents of any jurisdiction other than British Columbia, Alberta, Ontario and Quebec. Rights issuable to those shareholders (the "Ineligible Shareholders") will be issued to and held by the Subscription Agent as agent for the benefit of Ineligible Shareholders. The Subscription Agent will, for the account of Ineligible Shareholders and before the Expiry Date, attempt to sell the Rights allocable to Ineligible Shareholders on the date or dates and at the price or prices as the Subscription Agent determines in its sole discretion.

Jones Gable & Company Limited has agreed to subscribe for, at the Subscription Price, those Shares not otherwise subscribed for on the exercise of Rights under the Offering.

The Offering is subject to regulatory approval, including that of the TSX-V. More details concerning the Offering and the procedures to be followed by holders of Common Shares will be contained in the Rights Offering Circular to be mailed to holders of Shares.

This press release should be read together with, and is qualified in its entirety by the more detailed information contained in the Rights Offering, which will be available on SEDAR at www.sedar.com.

Certain statements in this press release may constitute "forward looking statements" and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Corporation to be materially different from any performance or achievement expressed or implied by such "forward looking statements".

Contact Information

  • Telehop Communications Inc.
    Mr. Rajiv Jagota
    President and CEO
    (416) 494 4490
    rjagota@telehop.com