LONGUEUIL, QC, Sept. 17 /CNW Telbec/ - Section Rouge Media inc. (the "Company" or "SRM") has been notified by Corporation Evolutra / Evolutra Corporation ("Evolutra") that it will not proceed with a previously announced proposed reverse takeover transaction (please refer to the press release dated September 28, 2007). Evolutra indicated it had made this decision after a number of conditions precedent to the transaction had not been met by SRM, including the threshold valuation of SRM as determined by an independent third party valuator. The parties have also determined that current market conditions are not favourable for a transaction of this nature at the moment.
On June 25, 2008, the President and CEO of the Company, Richard Desmarais, resigned and Jean-Pierre Rancourt, the Vice-President, agreed to act in Desmarais' place on an interim basis. Rancourt ordered immediately the completion of an evaluation of SRM by Wise, Blackman, which was delivered to SRM and Evolutra on August 29, 2008.
The Company intends to continue its normal activities. The Company publishes periodicals relating to family life (Grossesse, Bebe and Junior), legal matters (Photo Police) and agriculture (Ma revue de machineries agricoles).
SRM in currently approaching the TSX-V for the resumption of trading of its common shares on TSX-V.
Please note that the Company will be holding its Annual Meeting in Longueuil Friday, October 17, 2008 at 11H00 a.m.
The TSX Venture Exchange has neither approved nor disapproved the
contents of this release.
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