ART Advanced Research Technologies Inc. Announces Court Approval of Its Proposal Filed Under the Bankruptcy and Insolvency Act
Published: Dec 10, 2009
MONTREAL, CANADA--(Marketwire - 12/09/09) - ART Advanced Research Technologies Inc., a Canadian medical device company specializing in optical molecular imaging products for the healthcare and pharmaceutical industries, announces that the Quebec Superior Court approved today the amended proposal (the "Proposal") filed by ART under the Bankruptcy and Insolvency Act (Canada) (the "BIA"). The Proposal provides for, amongst other terms, the distribution of the sum of $375 000 to the unsecured creditors as well as a reorganization of ART's equity pursuant to Section 191 of the Canada Business Corporations Act (the "Reorganization").
The transactions contemplated by the Proposal including the Reorganization are expected to be implemented and effective by December 11, 2009.
In consideration of the transactions contemplated under the Proposal, Dorsky Worldwide Corp. ("Dorsky") settled the claims of secured creditors of ART totaling close to $5 million and paid $375,000 to be used by ART to pay a distribution to its unsecured creditors.
Upon the implementation of the Proposal and Reorganization, all existing common and preferred shares and other equity of ART will be automatically cancelled, without payment or compensation to the holders of such shares and equity, in accordance with the terms of the Court approved Proposal. This announcement follows the announcement made on December 7, 2009 that the unsecured creditors of ART (the "Unsecured Creditors") voted unanimously in support of its Proposal under the BIA, as amended, at a meeting of Unsecured Creditors held that day.
ART Advanced Research Technologies Inc. develops and commercializes molecular imaging products for the healthcare and pharmaceutical industries. In accordance with TSX Bulletin No.2 009-1426 dated November 3, 2009, the Toronto Stock Exchange ("TSX") determined on November 12, 2009 to delist the common shares (Symbol: ARA), the Series 1 Preferred Shares (Symbol: ARA.PR.A) and the Series 2 Preferred Shares (Symbol: ARA.PR.B) of the Company (collectively, the "Securities") at the close of market on December 11, 2009 for failure to meet the continued listing requirements of TSX. The Securities will remain suspended from trading. For more information on ART and its restructuring, visit our website at www.art.ca
This press release may contain forward-looking statements subject to risks and uncertainties that would cause actual events to differ materially from expectations. These risks and uncertainties are described in the most recent Annual Information Form and the financial statements for the year ended December 31, 2008, available on SEDAR (www.sedar.com).
Contacts: ART Advanced Research Technologies Inc. Jacques Bedard Chief Financial Officer 514-832-0777 email@example.com www.art.ca