HONG KONG, Jan. 14 /CNW/ -- Mass Financial Corp. ("Mass") announces today it is the founding member of a shareholders committee ("Committee") to create change and increase shareholder value at Mercer International Inc. ("Mercer") (Nasdaq: MERC, TSX: MUI.U)
The mandate of the Committee will be to unlock the value of the Mercer's common shares by requesting drastic corporate changes within Mercer, and to either have the company sold or create a joint venture with a strategic investor to realize the highest value for the shareholders.
Michael Smith, President of Mass, commented, "We have already received very encouraging comments from other concerned Mercer shareholders, as well as numerous inquiries from all over the world; and some of these shareholders have now joined the Committee."
This type of action would not be necessary if Mercer was transparent and responsive to its shareholders, true corporate governance has to be in question. We have officially asked several of the Mercer directors and its Vice-Chairman to make some fundamental changes in the company. The response we received was a letter written by Mr. H. Sangra, Mercer's top lawyer, but signed as if it was the Vice Chairman' words. Why cannot they be just straight forward?
Mass may increase its share ownership in Mercer in conjunction with others, or directly by open market purchases. It will fund the Committee in order to pay their professional consultants and advisors.
About Mercer
Mercer is the largest publicly traded NBSK pulp manufacturing company in the world. To obtain further information on Mercer, please visit its website at http://www.mercerint.com and review the company's 8-K filing dated December 18, 2007.
About Mass
Mass and its affiliated companies are engaged in global investments, merchant banking, trading activities and medical supply and service.
Contact information: Suite 803, 8/Fl, Dina House
Ruttonjee Centre
11 Duddell Street
Central, Hong Kong
SAR, China
Tel: (852) 2840-1230
Fax: (852) 2840-1260
Email: mfc@massfinancialcorp.hk