TORONTO, Nov. 8 /CNW/ - Pinetree Capital Ltd. (TSX: PNP), a Canadian
investment company, announces that pursuant to the closing of Petrolifera
Petroleum Limited's ("Petrolifera") initial public offering of common shares
on the Toronto Stock Exchange (the "IPO"), it acquired ownership of 250,000
common shares ("Common Shares") of Petrolifera and 125,000 share purchase
warrants (each, a "Warrant") (each Warrant entitling the holder thereof to
acquire one additional common share at an exercise price of $3.00 until May 8,
2007). In the event that the Warrants are fully exercised, these holdings
represent approximately 1.1% of the total issued and outstanding common shares
as of November 8, 2005, calculated on a partially diluted basis assuming the
exercise of Warrants only. As a result of this transaction, Pinetree and its
joint actors held, as at November 8, 2005, an aggregate of 1,983,333 common
shares of Petrolifera and rights to acquire an aggregate of 2,852,333 common
shares of Petrolifera upon exercise of convertible securities, including the
Warrants (collectively, the "Convertible Securities"). Of these totals,
Pinetree holds 250,000 common shares and the 125,000 Warrants directly. If
Pinetree and its joint actors were to exercise all of these Convertible
Securities, their combined ownership would represent a total of 4,835,666
common shares of Petrolifera, or approximately 13.5% of such shares
outstanding as of November 8, 2005, calculated on a partially diluted basis
assuming the exercise of the Convertible Securities only. In the event that
only the Warrants are fully exercised, the direct holdings of Pinetree
represent approximately 1.1% of all issued and outstanding common shares of
Petrolifera as of November 8, 2005, calculated on a partially diluted basis
assuming the exercise of the Warrants only.
These transactions were made for investment purposes and Pinetree and
each of its joint actors could increase or decrease their respective
investments in Petrolifera depending on market conditions or any other
relevant factor.
About Pinetree
Pinetree Capital Ltd. ("Pinetree" or the "Company") was incorporated
under the laws of the Province of Ontario and is publicly traded on the
Toronto Stock Exchange ("TSX") under the symbol "PNP". Pinetree develops and
manages a portfolio of equity securities of private and public issuers engaged
in growth businesses in the following three sectors: (i) Uranium, Mining and
Oil & Gas; (ii) Biotechnology; and (iii) Technology and Other. Pinetree's
investment focus among these three sectors changes over time, depending on
changing investment opportunities. As well, Pinetree takes advantage of
special situations and merchant banking opportunities.
For more details about Pinetree and its investments, please visit our
website at www.pinetreecapital.com.
This news release contains forward-looking statements within the meaning
of the "safe harbour" provisions of the Private Securities Litigation Reform
Act of 1995. These forward-looking statements are subject to risks and
uncertainties and other factors that may cause Pinetree's results to differ
materially from expectations. These include risks relating to market
fluctuations, investee performance and other risks. These forward-looking
statements speak only as of the date hereof. Pinetree disclaims any intent or
obligation to update these forward-looking statements.
