Business
SAMSys Announces Agreement to Dispose of Assets
SAMSys Announces Agreement to Dispose of Assets.
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[{"type":"text","content":"\n\n\n\n\nCompany: SAMSys Technologies Inc.\nStock Symbol: SMY\nListing: TSX\nOutstanding Shares: 51.5 Million\nWeb Site: www.samsys.com\n\nTORONTO, April 6 /CNW/ - SAMSys Technologies Inc. (SMY:TSX) (\"SAMSys\" or\nthe \"Company\"), an international provider of radio frequency identification\n(\"RFID\") hardware solutions, today announced that it has reached an agreement\nin principle with Sirit Inc. (\"Sirit\") and the holder of its outstanding\nsecured debentures (the \"Debentures\") for the orderly disposition of its\nassets through a court appointed receivership process. The agreement\ncontemplates the sale by SAMSys and its Canadian subsidiaries of all of their\nassets, including the shares of the Company's U.S. subsidiaries, to Sirit in\nexchange for proceeds that would satisfy the Company's obligations under the\nDebentures. SAMSys does not expect to receive sufficient proceeds from the\nsale to satisfy any other claims or make any distributions to its\nshareholders.\nThe disposition of assets by the Company is subject to certain\nconditions, including the appointment of a receiver by the Ontario Superior\nCourt of Justice and the closing of the transaction by April 13, 2006. The\nCompany and its subsidiaries will continue to carry on business in the\nordinary course until the sale closes.\nAs previously disclosed, the board of directors had determined that a\ntransaction involving the sale of the business was in the Company's best\ninterests. Prior to agreeing to the transaction with Sirit, the special\ncommittee of the board of directors, with the assistance of the Company's\nfinancial advisors, conducted a thorough search for potential buyers but was\nunable to identify a transaction that could have been completed in a timely\nmanner in light of the Company's current circumstances and that would have\nallowed SAMSys to continue as a going concern or provide a return to its\nshareholders.\n\nAbout SAMSys Technologies Inc.\nSAMSys, founded in 1995, is a world-leading provider of RFID reader\nsolutions. SAMSys offers a family of products to simplify the installation and\nensure the ongoing performance of the overall RFID hardware infrastructure.\nSAMSys is a public company whose common shares are listed for trading on the\nTSX under the symbol \"SMY\". SAMSys has approximately 51.5 million common\nshares outstanding. Vis...