Homburg Invest provides update on recent developments
(Thomson Reuters ONE) -
HALIFAX, Nova Scotia. September 1, 2011 - (TSX: HII.A & HII.B and NYSE Euronext
Amsterdam: HII) - Homburg Invest Inc. ("HII" or the "Company") announced today
two resignations from its Board of Directors and the appointment of a new
chairman of the Board.
Michael H. Arnold, C.A. has resigned as a director and as Chairman of the
Board. He will continue to provide special advisory services to the Board. Dr.
Trevor A. Carmichael has also resigned as a director. Neither Mr. Arnold nor
Dr. Carmichael will stand for re-election to the Board at the Annual Meeting of
Shareholders.
Mr. Hartmut Fromm, a director of HII, has been appointed by the Board to the
position of Chairman. Mr. Fromm is Co-Founder and Senior Partner of Buse
Heberer Fromm in Berlin, Germany. He is also Chairman of the Board of IMW
Immobilien SE.
As a result of the foregoing, the Board of Directors currently consists of four
directors, of which three are independent.
Update on Recent Events
On August 26, 2011, Homburg Canada Inc. ("HCI"), a company controlled by Richard
Homburg, issued a news release stating that it would not follow through on its
announced intention to make an offer for all outstanding shares of HII not
already owned or controlled, directly or indirectly, by HCI.
HII wishes to make it clear that it never received a formal binding offer from
HCI or Richard Homburg to purchase the shares not already owned by them in the
Company. As disclosed on July 25, 2011, the Board of Directors of HII has only
rejected a non-binding proposal made by Richard Homburg to privatize HII (the
"Proposal") because the Proposal was not in the best interest of HII and its
stakeholders.
To the knowledge of the Board of Directors of HII, the financing required for
the implementation of the Proposal was never committed. Furthermore, the
Proposal involved the use of HII's most liquid asset, namely the units of
Homburg Canada Real Estate Investment Trust that it holds, as a means to finance
the privatization, and if implemented would have seriously impaired HII's
financial flexibility.
Relationship with Netherlands Authority for Financial Markets (AFM)
The Company strongly believes that it has acted in good faith to fulfill the
requirements of the Instructions issued by the AFM previously disclosed on May
26, 2011, and continues to work diligently to resolve the impasse with the AFM
and to avoid the loss of its licence as a financial institution in The
Netherlands.
The AFM has granted a two-week extension to HII to allow the Company to submit
reasons to the AFM as to why the Company's licence as a financial institution in
The Netherlands should not be revoked. HII reminds investors that the letter
from the AFM conveys an intention to make a decision and is not definitive.
HII to Vigorously Contest Claim for Damages by HCI
On August 30, 2011, HII announced that it had received a claim for damages
totalling approximately $27 million from HCI as compensation for the termination
by HII of the master property and asset management agreement between the Company
and HCI.
HII maintains that it terminated the agreement as a result of breaches by HCI of
its obligations under the agreement, and as such holds the position that no
compensation is payable to HCI. The Company rejects the claim for compensation
and will vigorously contest it, should the matter come before the Courts.
Communications with Stakeholders in the Netherlands
Due to the increasing number of enquiries from shareholders and debt holders in
the Netherlands, HII is in the process of setting up a Netherland's based
communications channel. Additional information will be announced shortly.
About Homburg Invest
Homburg Invest Inc. owns and develops a diversified portfolio of quality
commercial real estate including office, retail, industrial and development
properties throughout Europe and the United States, as well as an interest in
Homburg Canada Real Estate Investment Trust. The head office of the Company is
located in Halifax, Nova Scotia.
-30-
For further information, please contact:
Caroline Martel
NATIONAL Public Relations
(514) 843-2313
PDF version of the press release:
http://hugin.info/138798/R/1543517/472845.pdf
This announcement is distributed by Thomson Reuters on behalf of
Thomson Reuters clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: Homburg Invest Inc. via Thomson Reuters ONE
[HUG#1543517]
Unternehmensinformation / Kurzprofil:
Datum: 01.09.2011 - 15:23 Uhr
Sprache: Deutsch
News-ID 61631
Anzahl Zeichen: 5375
contact information:
Town:
Halifax
Kategorie:
Business News
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