NGCO - Nova Growth Corp. - Announces $185 million to $213 million as Preliminary Valuation of Niagara Falls Casino/Gateway Project Claim
TORONTO, Sept. 11 /CNW/ - Nova Growth Corp. (the "Company") announces
that it has received a report from Mintz and Partners Financial Services
("Mintz") valuing the interest which the Company is claiming in the Niagara
Falls Casino/Gateway project (the Project") at between $185,000,000 and
$213,000,000.
As previously announced, the Company has commenced litigation against its
former president, Andrej Kepinski, Richard Boxer and their related companies.
The Company asserts that it is the owner of 50% of Falls Entertainment
Corporation, one of the participants developing the Project.
The Mintz report is based only on publicly available information from the
Ontario Casino Corporation and other public sources. As the permanent casino
is not yet in operation, the report is based on projections rather than
historical information. Mintz has not reviewed the final project agreements
among the participants or with the Ontario Government, as these documents are
not public. If and when these documents become publicly available, the
valuation in the Mintz report will change.
Mintz has also made a number of assumptions (which it considers to be
reasonable in the circumstances) including with respect to the scope and
duration of the project, the financial structure and debt equity ratio to be
implemented.
Based on the above assumptions and limitations, Mintz has reported that
the present value of the interest being claimed by the Company is between
$185,000,000 and $213,000,000, using a discount rate range of 9% to 10%.
A copy of the Mintz report will be available on the SEDAR database
(www.sedar.com).
The Company has 9,829,383 common shares, issued and outstanding
(11,047,243 on a fully diluted basis).
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For further information: Brian Hamm, President and Director at
(416) 362-3966 |
