SASAMAT CAPITAL CORP (U-SSALF) - News Release
Texas Court Issues Order Approving Settlement Agreement
2004-10-06 07:30 ET - News Release
VANCOUVER, British Columbia, Oct. 6 /PRNewswire-FirstCall/ -- Sasamat Capital Corporation (Pink Sheets: SSALF) is pleased to announce that on September 30, 2004, the United States District Court for the Eastern District of Texas, Texarkana Division, approved the Settlement Agreement which settles all claims of United States purchasers of shares of Bre-X Minerals Ltd. ("Bre-X") and/or Sasamat Capital Corporation ("Sasamat") between January 17, 1994 and March 26, 1997. The Texas Court also dismissed the lawsuit against Sasamat, with prejudice and without costs.
"With the granting of this order by the Texas court and the chance of our company facing new lawsuits related to Bre-X being substantially reduced, our company is faced with much less uncertainty," said Michael Smith, President of Sasamat.
Under the Settlement Agreement and related Plan of Arrangement, all claims against Sasamat related to Bre-X will be settled, other than those of certain trade creditors. Under the terms of the Settlement Agreement, Sasamat was required to pay $9,000,000 to Bre-X's trustee and transferred to Bre-X the 49,000,000 common shares of Bre-X owned by Sasamat, which monies and Bre-X shares are currently being held by a receiver. In addition, Sasamat would receive 800,000 of its common shares currently held by Bre-X for cancellation, and Sasamat will be released from all claims by Bre-X and the classes of shareholders included in the settlement.
The Plan of Arrangement also provides for the creation of a pool of Sasamat common shares equal to approximately 10% of its issued and outstanding share capital, to be distributed to satisfy in full the claims of persons, other than certain trade creditors, alleging a claim against Sasamat, by way of a pro rata distribution of the pool of common shares to affected creditors.
Sasamat will now take the necessary steps to complete the items outstanding under the Settlement Agreement and Plan of Arrangement.
Persons seeking information regarding the foregoing may contact Rene Randall at (604) 408-8538
Sasamat Capital Corporation
CONTACT: Rene Randall of Sasamat Capital Corporation, +1-604-408-8538 |
