TORONTO, April 19, 2013 /CNW/ - Look Communications Inc.
("Look" or the "Corporation") (NEX: LOK.H and LOK.K) today
reported its operating and financial results for the three and six
months ended February 28, 2013.
Financial highlights included the
following:
- Cash and short-term investments, as at February 28, 2013, totalled $17.3 million, which represents a decrease of
$0.8 million from August 31, 2012. The decrease in cash was
due mainly to costs related to the Corporation's claim seeking
recovery of the 2009 "corporate restructuring awards", and the
timing of payment of accounts payable.
- Operating expenses for the three months ended February 28, 2013 totalled $0.6 million, a decrease of $0.5 million or 46.5% from the $1.1 million incurred during the three months
ended February 29, 2012. This decrease
was due mainly to the expiration of the MSA on May 19, 2012.
- The net loss for the three months ended February 28, 2013 was $0.5
million, or a basic loss per share of $0.004.
Operating highlights included the
following:
- On March 25, 2013, Look entered
into a securities purchase agreement, pursuant to which Look has
agreed to acquire all of the outstanding shares of Sunwave Gas
& Power Inc., a privately-held provider of innovative energy
commodity products and services based in Toronto, for aggregate consideration of
$1,000. It is anticipated that
consideration for the transaction will be satisfied through the
issuance of 3,383 multiple voting shares and 3,760 subordinate
voting shares in the capital of Look, each valued at $0.14 per share. Concurrently with the execution
of the securities purchase agreement, Look has entered into
subscription agreements with a group of arm's length investors,
pursuant to which the investors will subscribe, on a private
placement basis, for an aggregate of 30,447 multiple voting shares
and 33,839 subordinate voting shares in the capital of Look at a
price of $0.14 per share for
aggregate subscription proceeds of $9,000.
Closing is subject to regulatory conditions and
shareholder approval.
- The Corporation continues to pursue the claim against certain
of its former directors and officers in connection with the payment
of approximately $15.7 million of
"corporate restructuring awards", paid to the directors and
officers named in the claim (or their personal holding companies,
as applicable), from the net proceeds of approximately $64.0 million realized by the Corporation on the
sale of its spectrum license in 2009. None of the allegations in
the claim have been proven before the Court. The defendants
have delivered statements of defense.
For further information on Look's financial
results, please review the Corporation's unaudited condensed
consolidated interim financial statements and management's
discussion and analysis of financial condition and results of
operations for the three and six months ended February 28, 2013 and February 29, 2012.
About Look Communications Inc.
Look's shares are listed on the NEX under the
symbols "LOK.H" for Multiple Voting Shares and "LOK.K" for
Subordinate Voting Shares. Look's website may be found at
www.grouplook.ca.
The corporate information contained in this
release includes forward-looking statements regarding future events
and the future performance of Look that involve risks and
uncertainties that could cause actual results to differ materially.
Assumptions used in the preparation of such information, although
considered reasonable by Look at the time of preparation, may prove
to be incorrect. The actual results achieved may vary from the
information provided herein and the variations may be material.
Consequently, there is no representation by Look that actual
results achieved will be the same, in whole or in part, as those
forecast.
Neither the NEX nor its Regulation Services
Provider (as that term is defined in the policies of the NEX)
accepts responsibility for the adequacy or accuracy of this
release.
SOURCE Look Communications Inc.