To: BM who wrote (115 ) 3/7/1998 9:21:00 AM From: Tom McIlwain Read Replies (1) | Respond to of 222
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.