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L-1 Identity Solutions Increases Price to US $1.12 Per Share in "Final" All-Cash Offer to Acquire ComnetiX Inc.
L-1 Identity Solutions Increases Price to US $1.12 Per Share in "Final" All-Cash Offer to Acquire ComnetiX Inc..
About this update from Currency Exchange International, Corp.
[{"type":"text","content":"\n\n\n\nComnetiX Board Unanimously Approves Revised L-1 Offer and Rejects\n\n\nUnsolicited Offer from BIO-key\n\n\nOAKVILLE, ON, Jan. 26 /CNW/ - ComnetiX Inc. (TSX: CXI) today announced\nthat ComnetiX and L-1 Identity Solutions, Inc. (NYSE: ID) have amended the\nterms of their previously-announced agreement, entered into on November 15,\n2006, as amended on January 9, 2007, for L-1 to acquire all of the outstanding\nshares of ComnetiX.\n\n\nUnder the amended agreement, which was executed on January 25, 2007, L-1\nwill pay ComnetiX shareholders US$1.12 per share in cash for all of the issued\nand outstanding shares of ComnetiX, for a total purchase price of\napproximately US$17.0 million. The previous purchase price was US$1.05 per\nshare. The revised purchase price has been expressed by L-1's as its \"final\"\noffer and reflects a premium of approximately 175% over the price of\nComnetiX's shares prior to the initial announcement of L-1's offer in November\n2006. The acquisition will remain structured as an arrangement under the\nCanada Business Corporations Act.\n\n\nThe Board of Directors of ComnetiX unanimously recommends that ComnetiX's\nshareholders and warrantholders vote FOR the special resolution approving the\narrangement with L-1, as revised. The Board of Directors of ComnetiX has\nconfirmed its unanimous approval of the revised arrangement and its\ndetermination that the revised arrangement is fair to, and in the best\ninterests of, ComnetiX, its shareholders and warrantholders.\n\n\nConcurrently with its unanimous approval of the L-1 offer, ComnetiX's\nBoard of Directors unanimously rejected the unsolicited offer to purchase all\nof the outstanding shares of ComnetiX from BIO-key International, Inc.,\ndelivered to ComnetiX on January 19, 2007. ComnetiX's Board of Directors\nstrongly advises ComnetiX shareholders not to deposit any common shares to the\nBIO-key offer, and if their shares have already been tendered to the BIO-key\noffer, to withdraw them immediately.\n\n\nAmong the reasons for the Board's unanimous rejection of the BIO-key\noffer are:\n\n\n- a lack of liquidity of BIO-key's shares,\n- Bio-key's need for additional financing, and\n- dilution to ComnetiX shareholders.\n\n\nComnetiX has today issued a press release explaining in detail the\nunanimous rejection of the BIO-key offer by the ComnetiX Board of...