We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Gold/Mining/Energy : IMARK Corporation (IAK was Durkin Hayes DHP) -- Ignore unavailable to you. Want to Upgrade?

To: Pierre J. LeBel who wrote (16)3/19/1998 3:18:00 PM
From: DANIEL  Read Replies (1) | Respond to of 57
Based upon my limited knowledge of Canadian Securities law, I don't think that they obtained an option to purchase the remaining 20%. Under the Ontario Securities Act (OSA) options to purchase shares are included in the calculation for detemining whether someone has gone over the 20% ownership threshold for definging a TOB. While the buyer could have obtained the options together with the shares, they would not have been able to pay greater than 110%(approx.-maybe 120%) of the market price (average for past 30-90 days) of DHP shares since this is a private transaction (the OSA seeks to ensure that control persons won't be the sole beneficiaries of TOB).

The buyer may have obtained a right of first refusal for the remaining 20% of the shares since this would not be considered in the calculation of shares owne for the purposes of a TOB.

It may be possible to find this out from AM but I'm not sure. I'm also not positive about the foregoing but I am quite comfortable that it is correct. If the buyer did obtain an option a right of first refusal, I'm quite certain it will be disclosed in the OSC filing and probably also in a press release.

I hope the above has not been to confusing.