Business
UCR Adopts Shareholder Rights Plan
UCR Adopts Shareholder Rights Plan.
About this update from Strategic Resources Inc.
[{"type":"text","content":"\n\n\n\nTORONTO, April 3 /CNW/ - Uranium City Resources Inc. (the "Company")\n(UCR: TSX.V, A0F7F5: Berlin) announces that its board of directors (the\n"Board") has adopted a Shareholder Rights Plan (the "Plan"), similar to\nexisting shareholder rights plans adopted by other Canadian public companies.\n\n\nThe objectives of the Plan are to ensure, to the extent possible, that\nall shareholders of the Company are treated equally and fairly in connection\nwith any take-over bid for the Company. The Plan discourages discriminatory,\ncoercive or unfair take-overs of the Company and gives the Company's Board\ntime if, in the circumstances, the Board determines it is appropriate to take\nsuch time, to pursue alternatives to maximize shareholder value in the event\nan unsolicited take-over bid is made for all or a portion of the outstanding\ncommon shares of the Company (the "Common Shares").\n\n\nIn order to implement the adoption of the Plan, the Board authorized the\nissuance of one right (a "Right") in respect of each Common Share outstanding\nat the close of business on April 2, 2007 (the "Record Time"). In addition,\nthe Board authorized the issuance of one Right in respect of each additional\nCommon Share issued after the Record Time. The Rights trade with and are\nrepresented by Common Share certificates, including certificates issued prior\nto the Record Time. Until such time as the Rights separate from the Common\nShares and become exercisable, Rights certificates will not be distributed to\nshareholders.\n\n\nIf a person, or a group acting in concert, acquires (other than pursuant\nto an exemption available under the Plan) beneficial ownership of 20% or more\nof the Common Shares, Rights (other than those held by such acquiring person\nwhich will become void) will separate from the Common Shares and permit the\nholder thereof to purchase Common Shares at a 50% discount to their market\nprice. A person, or a group acting in concert, who is the beneficial owner of\n20% or more of the outstanding Common Shares as of the Record Time is exempt\nfrom the dilutive effects of the Plan provided such person (or persons) does\nnot increase its beneficial ownership by more than 1% (other than in\naccordance with the terms of the Plan). At any time prior to the Rights\nbecoming e...