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TORONTO, November 10, 2021 (GLOBE NEWSWIRE) – ECN Capital Corp. (“ECN Capital” or the “Company“) (TSX: ECN) announced today that it has posted its Management Information Circular (“Circular”) and related materials (together with the Circular, the “Meeting Materials”) in connection with the special meeting of holders (the “Shareholders”) of common shares in the capital of the Company (the “Common Shares”) to be held on December 2, 2021 at 10:00 am (Toronto time) (the “Meeting”). At the Meeting, shareholders will be invited to consider and, if they deem it appropriate, to pass a special resolution authorizing and approving a reduction in the stated capital account of the common shares (the “stated capital reduction resolution”) at the meeting. for the purpose of providing a return on capital to Shareholders (the “Return of Capital”).
The return of capital will form part of the Company’s planned distribution to shareholders of the net proceeds of its previously announced sale of Service Finance Company, LLC and Service Finance Holdings, LLC to Truist Bank for cash proceeds of $ 2 billion. US, subject to adjustment (the “Transaction”). Following the completion of the transaction, the Company intends to distribute the aggregate net proceeds of the transaction (after tax and estimated transaction costs) of approximately C $ 1.82 billion to shareholders, which is expected to represent a payment of approximately C $ 7.50 per common share, of which approximately C $ 4.15 is expected to include return of capital and the remainder will be in the form of a special dividend.
Documents relating to the Meeting have been filed under ECN Capital’s profile on SEDAR at www.sedar.com. ECN Capital encourages shareholders to read the meeting documents in detail. To ensure their representation at the meeting, shareholders should carefully follow the voting instructions provided in the documents relating to the meeting. For registered shareholders, the deadline for receipt of proxies is November 30, 2021 at 10:00 a.m. (Toronto time). Beneficial shareholders should contact the intermediary through which they hold their common shares to determine the voting deadline. Shareholders are encouraged to visit www.ecncapitalcorp.com where the circular, other meeting documents and voting instructions, as well as other transaction information have been published.
The Company will call and conduct the Meeting in a virtual format only, which will be conducted via live audio webcast at https://meetnow.global/MP9ZLRU. During the audio webcast, shareholders will be able to listen to the meeting live, and registered shareholders and duly appointed and registered proxyholders will be able to submit questions and vote during the meeting. The circular provides important and detailed instructions on how to access and participate in the virtual meeting.
Recommendation of the Board of Directors
The board has unanimously determined that the reduction of the stated capital account of the common shares and the return of capital are in the best interests of the company and unanimously recommends that shareholders vote FOR the resolution to reduce the share capital. stated capital.
Questions and assistance to shareholders
Shareholders who have questions regarding the Meeting should contact Kingsdale Advisors, Strategic Shareholder Advisor and Proxy Agent of the Company, at 1-855-682-840 (toll free in North America) or at 1-416-867-2272 (payable outside North America), or by email at [email protected]
About ECN Capital Corp.
With assets under management and advice of US $ 33 billion, ECN Capital Corp. (TSX: ECN) is a leading provider of business services to US-based banks, credit unions, life insurance companies and investment funds (collectively our “Partners”). ECN Capital creates, manages and advises credit assets on behalf of its partners, in particular unsecured loan portfolios, secured loan portfolios and credit card portfolios. Our partners are looking for high quality assets corresponding to their deposits or their commitments. These services are offered through three operating companies: Service Finance, Triad Financial Services and The Kessler Group.
John [email protected]
This press release includes forward-looking statements regarding ECN Capital and its business. These statements are based on the current expectations and opinions about future events of the management of ECN Capital. In some cases, forward-looking statements may be identified by words or expressions such as “may”, “will”, “expect”, “plan”, “anticipate”, “intend”, “possible”. “,” Estimate “,” “believe” or the negative of these terms, or other similar expressions intended to identify forward-looking statements. The forward-looking statements contained in this press release include those relating to the holding of the Meeting and the timing and expected results thereof, the Transaction, its expected closing and the expected distribution of the total net proceeds thereof. here to the Shareholders. The forward-looking events and circumstances described in this press release may not occur and could differ materially due to known and unknown risk factors and uncertainties affecting ECN Capital, including risks relating to the equipment finance industry, economic factors and many other factors beyond the control of ECN Capital. No forward-looking statement can be guaranteed. Forward-looking statements and information, by their nature, are based on assumptions and involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements, or the results of the business. industry, are materially different from the results, performances or achievements expressed or implied by such forward-looking statements or information. Therefore, readers should not place undue reliance on forward-looking statements or information. A discussion of the significant risks and assumptions associated with this outlook can be found in ECN Capital’s MD&A for the three and six month periods ended June 30, 2021 and the 2020 Annual Information Form dated March 31, 2021, which were filed on SEDAR and can be viewed at www.sedar.com. Therefore, readers should not place undue reliance on forward-looking statements or information. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and ECN Capital assumes no obligation to publicly update or revise any forward-looking statement, whether whether as a result of new information, future events, or otherwise.
Source: ECN Capital Corp.