GPW 1998-03-06
GROUP WEST SYSTEMS COMPLETES CANDLEWOOD ACQUISITION
BURNABY, BRITISH COLUMBIA--
Frank Port, Director of Corporate Development is pleased to announce that
Group West Systems Ltd. has completed the purchase of 51% of the outstanding
common shares of Candlewood Management Consultants Ltd. ("Candlewood") for a
deemed purchase price of $200,000. Group West announced the preliminary
agreement with Candlewood on February 5, 1998.
To satisfy the purchase price, Group West Systems Ltd. will issue to the
shareholders of Candlewood a total of 48,780 common shares of Group West
Systems Ltd. at a deemed price of $4.10 per share. These common shares of the
Company will be subject to a one-year hold period and may not be traded in
British Columbia until February 28, 1999 (except as permitted under British
Columbia securities laws).
Candlewood, located in Richmond, British Columbia, distributes and supports
manufacturing, distribution and accounting software to the mid range market.
The partnership with Candlewood will further enhance Group West's
capabilities in the software implementation and consulting area.
Group West Systems Ltd. also announces today that it has agreed with
Mediforce Systems Inc. not to proceed with the previously announced purchase
of all of the outstanding shares of Mediforce Systems Inc. The parties had
announced on August 15, 1997 that they had signed a letter of intent for the
purchase which was subject to the receipt of regulatory approval and the
execution of a formal contract.
On February 19th, 1998, Group West Systems Ltd. held its first Annual General
Meeting, which was well attended. The items of business discussed and voted
on included: audited annual financial statements, the re-election of current
directors and the appointment of KPMG as auditor (among others). All matters
voted on were unanimously approved.
Group West Systems Ltd. is focusing on the midrange market with offices
located throughout Canada and the Western United States. Group West Systems
Ltd. also provides a comprehensive range of services to the rapidly evolving
information technology services industry including such leaders as Rogers
Sugar, Pharmasave, BC Rail, Toronto Dominion Bank and Microsoft Corporation.
GROUP WEST SYSTEMS LTD.
Steven Pettigrew
Chief Financial Officer
For Investor Relations Information contact:
Frank Port, Director of Corporate Development
Phone: (604) 473-2132
Fax: (604) 299-2878
Email: fport@groupwest.ca
Or
Seaport Communications Inc.
Phone: (604) 541-4188
Fax: (604) 541-9966
Email: seaport@usa.net
The Vancouver Stock Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release. |
