TORONTO, Oct. 10 /CNW/ - MediSystem Technologies Inc. ("MediSystem")
advises that earlier today, Shoppers Drug Mart Corporation (TSX: SC) announced
that it had acquired an additional 1,559,000 common shares of MediSystem under
its previously announced offer to acquire all of the outstanding common shares
of MediSystem, bringing the total number of MediSystem shares acquired by
Shoppers under the offer to approximately 22,811,327, representing over 90% of
the outstanding common shares of MediSystem (on a fully-diluted basis).
Shoppers made its offer on August 14, 2006 when it mailed a take-over bid
circular to the shareholders of MediSystem. After acquiring approximately
89.9% of the outstanding shares of MediSystem on September 20, 2006, Shoppers
announced the extension of the expiry of its offer until October 6, 2006 to
enable those shareholders of MediSystem who had not yet tendered to deposit
their MediSystem shares to the offer. The deposit period under the extended
Shoppers offer expired at 8:00 p.m., Toronto time, on October 6, 2006.
MediSystem also advised today that Shoppers announced its intention to
exercise the statutory right under the Business Corporations Act (Ontario) to
compulsorily acquire the remaining shares of MediSystem that have not been
deposited to the offer. Upon completion of the compulsory acquisition,
Shoppers has announced that it intends to de-list the MediSystem shares from
the Toronto Stock Exchange.
In accordance with the Support Agreement entered into by MediSystem and
Shoppers on July 27, 2006, five members of MediSystem's Board of Directors
resigned on September 28, 2006. These members are Michael Gleason, Paul
Little, James O'Donnell, David Rosenkrantz and Robert Tocchio. Accordingly,
Glenn Murphy, George Halatsis, Bryna Goldberg, Geoffrey Martin and Richard
Alderson, representatives of Shoppers, were appointed to MediSystem's Board of
Directors. The Board of Directors also accepted the resignation of Gary Chin
as Chairman of the Board of Directors, President and Chief Executive Officer
of MediSystem. Glenn Murphy was appointed Chairman of the Board of Directors
and Chief Executive Officer of MediSystem. Gary Chin was appointed President
of MediSystem and continues to serve as a Director of MediSystem.
About Shoppers Drug Mart Corporation
Shoppers Drug Mart Corporation is one of the most recognized and trusted
names in Canadian retailing. The Company is the licensor of full-service
retail drug stores operating under the name Shoppers Drug Mart (Pharmaprix in
QuDebec). With more than 960 Shoppers Drug Mart and Pharmaprix stores operating
in prime locations in each province and two territories, the Company is one of
the most convenient retailers in Canada. The Company also owns and operates 53
Shoppers Home Health Care stores, making it the largest Canadian retailer of
home health care products and services.
About MediSystem Technologies Inc.
The Corporation has three operating subsidiaries, all of which are
accredited pharmacies. The MediSystem Pharmacy unit of the company is
principally engaged in the distribution of pharmaceutical products to
long-term care facilities in Ontario through its automated multi-dose drug
delivery system. MediSystem's proprietary software meets the specific billing
requirements of the Ontario Ministry of Health; dispenses prescriptions on
specific days of the week, even in partial doses; and allows changes to drug
regiments within a seven-day dispensing cycle to save drug wastage. The
Corporation's Tristar subsidiary operates as an accredited pharmacy in Ontario
providing pharmaceutical products to long term care facilities through a
traditional blister card system. MediSystem also now operates in Alberta under
MediSystem Pharmacy (Alberta) providing pharmaceutical products to long-term
care facilities in the province utilizing an automated multi-dose drug
delivery system.
Certain statements contained herein constitute forward-looking
statements. Although the company believes the statements are reasonable, it
can give no assurance that such expectations will prove to be correct. The
company cautions investors that any forward-looking statements made by the
company are not guarantees of the future performance, and that the actual
results may differ materially from those in the forward-looking statements as
a result of various factors.
The TSX Exchange has not reviewed and does not accept responsibility for
the adequacy or accuracy of this press release.
