AlphaNet Telecom News
Seems to be some excitement in the Canadian Sector.
TORONTO, March 30 /CNW/ - AlphaNet Telecom Inc. (AlphaNet) announced today that its Board of Directors has adopted, effective as of the close of business on March 30, 1998, a Shareholder Rights Plan, designed to ensure the fair treatment of shareholders in connection with any potential takeover offer for AlphaNet. The Rights Plan has been designed to give the Board sufficient time to fully consider any unsolicited takeover bid for AlphaNet and, if appropriate, to pursue other alternatives to maximize shareholder value. The Rights will be triggered upon a person or group acquiring 20 percent or more of the shares, except in the event of a Permitted Bid. A Permitted Bid, under the Rights Plan, must, among other things, be made to all shareholders for all shares and remain open for not less than 60 days.
While the Rights Plan comes into effect immediately, it is subject to confirmation by the shareholders of AlphaNet at the Annual General and Special Meeting of Shareholders, which is currently scheduled for May 14, 1998. If confirmed, the Rights Plan will expire on the close of the Annual General and Special Meeting of Shareholders in the year 2003.
AlphaNet is not currently aware of any effort to acquire control of AlphaNet and the Rights Plan was not adopted in response to any such effort. AlphaNet believes that its Rights Plan is generally consistent with the terms and conditions of other recently adopted Shareholder Rights Plans.
The details of the Rights Plan will be fully described in the Management Information Circular which will be sent to all shareholders prior to the upcoming Annual and Special Meeting of Shareholders.
AlphaNet is a communications provider specializing in the development of digital technologies and services for the telecommunications and hospitality industries. Its Telecommunications business unit is a cutting-edge carriers' carrier offering low cost, high quality international long distance services. Its Hospitality business unit is a provider of innovative communication services for the hospitality industry. Based in Toronto, AlphaNet maintains an office in New York and is listed on The Toronto Stock Exchange under the symbol FAX. Additional information can be found at AlphaNet's Web site at alphanet.net. |
