Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : KERM'S KORNER -- Ignore unavailable to you. Want to Upgrade?

To: Arnie who wrote (10743)	5/16/1998 12:13:00 AM
From: Kerm Yerman	Respond to of 15196

MERGERS - ACQUISITIONS / Airgen Corp. Not Proceeding With Acquisitions AIRGEN CORPORATION AIR.A/ASE CALGARY, May 15 /CNW/ - Airgen Corporation (''Airgen'') announces that it will not be proceeding with the acquisition of Commercial Sandblasting and Painting Ltd. (''Commercial'') and Geo-Ray Oilfield Inspections Ltd. (''Geo-Ray'') as previously announced in press releases dated February 8, 1998 and February 12, 1998. Option Agreements to purchase these companies expire on May 15, 1998. Airgen has been informed that the $15,000,000 equity investment which it was negotiating with a United States based private equity fund to acquire Commercial and Geo-Ray will not be proceeding. The equity investment was a condition precedent to additional debt financing which had been committed. Currently, Airgen is not maintaining the minimum working capital covenants of its senior debt lenders. These covenants require Airgen to have a working capital ratio of 1.1:1, and a minimum working capital position of $1,000,000. Airgen has commenced seeking of working capital.