Business
ETHIOPIAN POTASH IMPLEMENTS SHAREHOLDER RIGHTS PLAN
ETHIOPIAN POTASH IMPLEMENTS SHAREHOLDER RIGHTS PLAN.
About this update from Agriminco Corp
[{"type":"text","content":"Ethiopian Potash Corp. (TSX-v:FED) (“EPC” or the “Corporation”) reports that its Board of Directors has approved and implemented a shareholder rights plan agreement (the \"Rights Plan\") between EPC and its rights agent, Olympia Trust Company, dated March 29, 2011. The Rights Plan is effective immediately and is subject to acceptance of the TSX Venture Exchange and a copy will be available on the Corporation’s profile at www.sedar.com.The Rights Plan has been adopted to ensure the fair treatment of all EPC shareholders in the eventuality of a possible take-over bid for the outstanding common shares of the Corporation. In the event that a takeover bid should occur the Rights Plan provides a mechanism to ensure that shareholders have adequate time to properly evaluate and assess a take-over bid without facing undue pressure or coercion. The Rights Plan also provides the Board with additional time to consider any take-over bid and, if applicable, to explore alternative transactions in order to maximize shareholder value. As such, the Rights Plan is not designed to prevent take-over bids that treat EPC shareholders fairly.If ratified by the shareholders of the Corporation, the Rights Plan will have a term of three years from the date of implementation.Pursuant to the terms of the Rights Plan, any bid that meets certain criteria intended to protect the interests of all shareholders are deemed to be \"Permitted Bids\". A Permitted Bid must be made by way of a take-over bid circular prepared in compliance with applicable securities laws and, in addition to certain other conditions, must remain open for a minimum of 60 days. In the event a take-over bid does not meet the Permitted Bid requirements of the Rights Plan, the rights issued under the plan will entitle shareholders, other than any shareholder or shareholders involved in the take-over bid, to purchase additional common shares of EPC at a significant discount to the market price of the common shares at that time. The Board of Directors is not currently aware of any pending or proposed take-over bid for the Corporation. On behalf of the Board of DirectorsDavid Wahl President and CEOForward-Looking InformationThis press release may contain forward-looking statements based on assumptions, uncertainties and management’s best estimates of futu...