Forterra Environmental Issues Statement on Status of Bank Account
July 19 2011 - 12:16PM
PR Newswire (Canada)
PUSLINCH, ON, July 19, 2011 /CNW/ -- PUSLINCH, ON, July 19, 2011
/CNW/ - At the request of the TSX Venture Exchange (TSXV), Forterra
Environmental Corp. (Forterra or the company) (TSXV: FTE), a
manufacturer, marketer, and seller of organic soil amendment
products based on worm castings, today issued a statement regarding
the status of the company's bank account. On June 10, 2010,
Forterra issued a news release disclosing that on June 4, 2010, the
Canada Revenue Agency (CRA) had seized the company's bank account
as the result of the company's failure to make required tax source
deductions and remittances. Forterra is continuing to discuss with
CRA the company's outstanding liability regarding the payment of
source deductions. As reported in Forterra's Management
Discussion and Analysis for the 2011 first quarter, filed on SEDAR,
the company is continuing to operate without banking
facilities. Forterra's Directors have chosen to support the
business through personal financial resources resulting in
significant loans outstanding to shareholders, as reported on the
balance sheet, and increased financing through debentures. On May
17, 2011, Forterra announced that it has entered into an agreement
to merge with OSM Solar Corp. (OSM). The transaction would
constitute a reverse takeover (RTO) pursuant to the policies of the
TSXV. If the RTO is approved by shareholders, Forterra will
become part of OSM's business enterprise and will bank
accordingly. Since OSM will assume the liabilities of
Forterra, CCRA matters that may be still outstanding, if any, will
be paid as agreed or retired on closing of the transaction.
This ensures that Forterra is free to seek any banking arrangements
it deems appropriate outside of the OSM relationship should
management deem that appropriate. Forterra will provide
additional information in the Information Circular for the proposed
RTO transaction, which it expects will be provided to the TSXV for
review within the next four-to-six weeks. About Forterra
Environmental Corp. Forterra manufactures, markets, and sells
environmentally friendly organic soil amendment products based on
worm castings, which boost fertility while restoring the soil with
organic matter for sustainable, longer-term benefits, including
stronger root growth, and drought and pest resistance.
Forterra products contain only organic material. They are
ideal for golf courses, sports fields, lawn care, parks, nurseries,
orchards, and vineyards. Essentially, Forterra uses red
wriggler worms to convert organic material into vermicompost or
worm castings. Worm castings contain micronutrients, which
are required for healthy plant development. Worm castings
also contain microbes, which increase the rate at which plants take
up available macronutrients and micronutrients. Further
information is available on the company's website at
www.forterra.com. Forward-Looking Statements This news release
contains forward-looking statements based on current
expectations. These forward-looking statements entail various
risks and uncertainties that could cause actual results to differ
materially from those reflected in these forward-looking
statements. Such statements are based on current
expectations, are subject to a number of uncertainties and risks,
and actual results may differ materially from those contained in
such statements. These uncertainties and risks include, but
are not limited to, availability of resources, competitive
pressures, changes in market activity, the ability to sign
contracts with customers, the development of markets for worm
castings, its ability to breed and maintain a sufficiently large
worm population, and regulatory requirements. Risks and
uncertainties about Forterra's business are more fully discussed in
the company's disclosure materials, including its annual
information form and MD&A, filed with the securities regulatory
authorities in Canada. Forterra assumes no obligation to
update any forward-looking statement or to update the reasons why
actual results could differ from such statements. Neither the TSX
Venture Exchange Inc. nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this
release. Neither the TSX Venture Exchange nor its Regulation
Services Provider has passed upon the merits of the proposed RTO
transaction. A definitive agreement between Forterra and OSM
for the proposed RTO has not been signed. There can be no
assurance that a definite agreement will be signed or that, if
signed, the proposed RTO will be completed. Following the
signing of the definitive agreement, Forterra will issue a news
release providing further details of the proposed RTO.
Subsequently, Forterra will issue a Management Information Circular
with respect to the required Annual and Special Meeting of
Shareholders that will be called to consider the proposed
transaction. To view this news release in HTML formatting, please
use the following URL:
http://www.newswire.ca/en/releases/archive/July2011/19/c6257.html p
Investor and Media Relationsbr/ Richard W. Wertheimbr/ Wertheim +
Company Inc.br/ Email: a
href="mailto:wertheim@wertheim.ca"wertheim@wertheim.ca/abr/
Phone : 416-594-1600br/ Cell : 416-518-8479br/ orbr/ Don
Greenbr/ Chairman & Chief Executive Officerbr/ Phone:
905-634-8647br/ Email: a
href="mailto:dmgreen@allstream.net"dmgreen@allstream.net/a /p
Copyright
Forterra Environmental Corp. (TSXV:FTE)
Historical Stock Chart
From Jun 2024 to Jul 2024
Forterra Environmental Corp. (TSXV:FTE)
Historical Stock Chart
From Jul 2023 to Jul 2024