Nov. 29, 2010 (Canada NewsWire Group) --
CALGARY, Nov. 29 /CNW/ - RS Technologies Inc. ("RS") (RS - TSX), a technology innovator and manufacturer of advanced composite products for infrastructure markets, announced today that the consolidation (the "Consolidation") on a one for 200 basis of the common shares of RS (the "Common Shares") was approved by shareholders of RS at RS's special meeting held today and effected thereafter. On a post-Consolidation basis, RS has approximately 11,148,650 Common Shares outstanding. It is anticipated that the Common Shares will start trading on the Toronto Stock Exchange on a post-Consolidation basis on or about December 2, 2010.
Registered holders of Common Shares were previously mailed a Letter of Transmittal in respect of the Consolidation. Registered holders should submit their Common Share certificates, together with the duly completed and signed Letter of Transmittal, to RS's transfer agent in accordance with the instructions in the Letter of Transmittal.
"The capital structure of the company now provides a more effective platform for the management team at RS to move the company forward and build shareholder value," commented Paul Giannelia, President and Chief Executive Officer of RS.
RS also announced that at the special meeting, its shareholders approved the private placement of warrants to purchase 2,309,360 post-Consolidation Common Shares until October 29, 2015 at an exercise price of $2.00 per share to directors and officers of RS or affiliates or associates thereof. RS completed the private placement of the warrants following the special meeting of shareholders.
About RS
RS is an ISO 9001:2008 certified technology innovator that develops
advanced composite material products for infrastructure markets. The
composite products manufactured using the company's proprietary resins
and processes are typically lighter, more durable and longer-lasting
than competing products made from the traditional building blocks of
wood, steel or concrete. RS's flagship product is its award-winning
RStandard® composite pole. The pole is used as transmission and
distribution poles to carry electric grids and as communication
structures for various uses including wireless networks and microwave
communications systems.
For the latest on RS's developments, go to the company's website at www.grouprsi.com.
"RStandard" is a registered trademark of RS.
Reader Advisory
This news release contains forward-looking statements concerning RS's
belief of the results and impact of the Consolidation which are based
on RS's current internal expectations. These statements are not a guarantee that such
results and impacts will take place and undue reliance should not be
placed on them. These risks and uncertainties include, among other
things, RS not securing additional short or long term funds for its
working capital needs to continue as a going concern past the end of
December 2010, RS's lack of revenues and unpredictability of future
revenues; the uncertainty of the profitability of existing and
contemplated products of RS; RS's ability to raise capital on
acceptable terms when needed; RS's ability to attract and retain key
employees; competition from established competitors with greater
resources; the uncertainty of the developing markets in which RS
operates; the risks associated with rapidly changing technology; RS's
reliance on third parties to supply raw materials and the cost of such
raw materials; intellectual property risks, foreign exchange rate
fluctuations changes in general economic, market and business
conditions and the receipt of applicable approvals. Many of these risks
and uncertainties are described in RS's annual information form for the
year ended December 31, 2009 and other documents RS files with the
Canadian securities authorities. The forward-looking statements are
made as of the date hereof and RS assumes no obligation to update or
revise such statements to reflect new events or circumstances except as
required by applicable securities laws.
RS Technologies Inc.
Laurien Abel, Investor Relations and Communications
Tel: (403) 219-8000 Fax: (403) 219-8001
Email: info@grouprsi.com