Telesis Industrial Group Inc
TSL
Shares issued 7650019
1997-07-02 close $0.65
Thursday Jul 3 1997
News Release
Mr Leonard Jaroszuk reports
Further to news in Stockwatch July 2 1997, the company has submitted to the ASE the report of TS2
Consulting on the Honduras mineral concessions owned by Merendon Mining's subsidiary, and the
report prepared for the company by Inceptus Investments as well as a legal opinion given to the
company by counsel to Merendon's Honduran subsidiary confirming that it and its claims are in good
standing. Management has requested the exchange to submit the report of TS2 Consulting to the
exchange's consultants as quickly as possible and have advised the exchange that, unless there is some
serious flaw in the report, it intends to proceed to conclude an agreement by which Merendon Mining
would become a wholly owned subsidiary of the company.
In consequence of these developments, and in compliance with the provisions of circular No. 8 of the
exchange's policies and procedures manual, the exchange did, this morning, after discussions with
counsel to the company, impose a trading halt on the company's shares. Such a halt is routinely imposed
by the exchange when a listed company enters into a transaction or series of transactions which results in
a change of management, directors, assets, business operations or effective control. Since the proposed
acquisition of all of the shares of Merendon Mining by the company will result in a change of its
business operations to the exploration for precious metals and the production and refining of gold, the
provisions of circular 8 require that trading be halted until documentation described in the circular has
been filed with and reviewed by the exchange and either an information circular has been mailed to
shareholders or, where appropriate, a filing statement has been filed with and reviewed by the exchange
and disseminated. At the time of imposing the trading halt, staff of the exchange assured counsel to the
company that efforts would be made to expedite the review of the reports by the exchange's consultants
to minimize the length of the halt. Management has instructed counsel to work as quickly as possible
toward concluding a definitive agreement with the shareholders of Merendon Mining and expect to have
it concluded next week. |
