Click here to close now.




















Welcome!

News Feed Item

Tuckamore Shareholders-It's About Value

TORONTO, ONTARIO -- (Marketwired) -- 07/07/14 -- Tuckamore Capital Management Inc. (TSX: TX)(TSX.DB.B) ("Tuckamore" or the "Company") released a letter to shareholders today in relation with the Company's previously announced special meeting of shareholders to be held on July 15, 2014. Shareholders will be asked to vote on a proposal pursuant to which Birch Hill Equity Partners ("Birch Hill"), together with certain members of Tuckamore's management, have agreed to acquire all of the issued and outstanding common shares of the Company (each a "share") for cash consideration at a price of $0.75 per share.

The full text of the Board's letter to Shareholders follows:

Dear Fellow Shareholders,

Much has been written in the press and by other market participants about the $0.75 offer in front of Tuckamore shareholders. We want to refocus the discussion on what really matters to shareholders. We understand that first and foremost you are interested in maximizing the value of your shares. Your Board shares that objective.

The $0.75 cash offer we have presented to you, represents the culmination of a comprehensive process to preserve and surface value for all shareholders. As shareholders are aware, the Board engaged in a comprehensive value maximization process that began in late 2012. The Board, assisted by its highly-qualified legal and financial advisors, carefully considered a variety of proposals, examining the opportunities and risks of each one. After considering several alternatives, the Board had a duty to consider and recommend the Birch Hill offer to shareholders.

For years, Tuckamore struggled with a stretched balance sheet and a lack of trading liquidity, which depressed the value of our shares. Our shares traded at $0.11 a year ago, and have averaged approximately $0.31 for the past 5 years (as at March 25, 2014). When current management took over in December 2008, substantial portions of our debt was in default and due on demand.

Many companies in a similar position would have resorted to financing alternatives that would have dramatically diluted or destroyed equity value. Your Board and management team did not pursue those paths and instead chose to preserve equity value for shareholders at every turn.

Management's successful efforts to stabilize the balance sheet and our underlying businesses, included asset sales and operational and managerial improvements. The Board and management's next balance sheet priority is to address the repayment of $85.2 million of debt due in March 2015, and the pending maturity of our debentures in the amount of $176.2 million in March 2016.

Tuckamore requires a long term solution that provides the capital resources required to de-risk the balance sheet and surface value for shareholders.

Birch Hill, a well known and highly regarded private equity investor, has the resources to fund Tuckamore's capital intensive businesses. The $0.75 offer, provides shareholders with an opportunity to receive cash for their shares, while leaving the purchaser to assume approximately $280 million in debt and capital leases. Shareholders of Tuckamore will also be freed of the operational risks associated with our underlying businesses.

Fellow shareholders you have an important decision to make.

Our duty as a Board was to properly consider and recommend an offer that we believe provides you with liquidity, full and immediate value today and eliminates ongoing exposure to operational and financing risk. We have done that, and now the decision is yours to make.

Whether shareholders choose to accept or reject the $0.75 cash offer on July 15th, the Board and management of Tuckamore remain deeply committed to preserving and surfacing value - as we have always done. The Board will continue to seek opportunities to strengthen the balance sheet and reduce debt, improve operational efficiencies and grow our business.

Your vote is important regardless of how many shares you own and we encourage you to exercise your rights as shareholders.

We look forward to seeing you at the meeting.

Yours very truly,

Douglas Brown, Chairman of the Board of Directors

If you have any questions or need assistance in voting your proxy, please contact our proxy solicitor Kingsdale Shareholder Services at 1-888-518-1561 (toll free within North America) or 416-867-2272 (collect calls accepted), or by email at [email protected].

About the Company

Tuckamore has investments in 7 businesses representing a diverse cross-section of the Canadian economy.

About Birch Hill's Investment

The investment will be part of Birch Hill Fund IV with over $1 billion in committed capital.

SOURCE: Tuckamore Capital Management Inc.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
Red Hat is investing in Tesora, the number one contributor to OpenStack Trove Database as a Service (DBaaS) also ranked among the top 20 companies contributing to OpenStack overall. Tesora, the company bringing OpenStack Trove Database as a Service (DBaaS) to the enterprise, has announced that Red Hat and others have invested in the company as a part of Tesora's latest funding round. The funding agreement expands on the ongoing collaboration between Tesora and Red Hat, which dates back to Febr...
The Internet of Things (IoT) is about the digitization of physical assets including sensors, devices, machines, gateways, and the network. It creates possibilities for significant value creation and new revenue generating business models via data democratization and ubiquitous analytics across IoT networks. The explosion of data in all forms in IoT requires a more robust and broader lens in order to enable smarter timely actions and better outcomes. Business operations become the key driver of I...
SYS-CON Events announced today that DataClear Inc. will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. The DataClear ‘BlackBox’ is the only solution that moves your PC, browsing and data out of the United States and away from prying (and spying) eyes. Its solution automatically builds you a clean, on-demand, virus free, new virtual cloud based PC outside of the United States, and wipes it clean...
In their Live Hack” presentation at 17th Cloud Expo, Stephen Coty and Paul Fletcher, Chief Security Evangelists at Alert Logic, will provide the audience with a chance to see a live demonstration of the common tools cyber attackers use to attack cloud and traditional IT systems. This “Live Hack” uses open source attack tools that are free and available for download by anybody. Attendees will learn where to find and how to operate these tools for the purpose of testing their own IT infrastructu...
It’s been proven time and time again that in tech, diversity drives greater innovation, better team productivity and greater profits and market share. So what can we do in our DevOps teams to embrace diversity and help transform the culture of development and operations into a true “DevOps” team? In her session at DevOps Summit, Stefana Muller, Director, Product Management – Continuous Delivery at CA Technologies, answered that question citing examples, showing how to create opportunities for ...
SYS-CON Events announced today that IceWarp will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. IceWarp, the leader of cloud and on-premise messaging, delivers secured email, chat, documents, conferencing and collaboration to today's mobile workforce, all in one unified interface
Culture is the most important ingredient of DevOps. The challenge for most organizations is defining and communicating a vision of beneficial DevOps culture for their organizations, and then facilitating the changes needed to achieve that. Often this comes down to an ability to provide true leadership. As a CIO, are your direct reports IT managers or are they IT leaders? The hard truth is that many IT managers have risen through the ranks based on their technical skills, not their leadership ab...
A producer of the first smartphones and tablets, presenter Lee M. Williams will talk about how he is now applying his experience in mobile technology to the design and development of the next generation of Environmental and Sustainability Services at ETwater. In his session at @ThingsExpo, Lee Williams, COO of ETwater, will talk about how he is now applying his experience in mobile technology to the design and development of the next generation of Environmental and Sustainability Services at ET...
WebRTC has had a real tough three or four years, and so have those working with it. Only a few short years ago, the development world were excited about WebRTC and proclaiming how awesome it was. You might have played with the technology a couple of years ago, only to find the extra infrastructure requirements were painful to implement and poorly documented. This probably left a bitter taste in your mouth, especially when things went wrong.
Whether you like it or not, DevOps is on track for a remarkable alliance with security. The SEC didn’t approve the merger. And your boss hasn’t heard anything about it. Yet, this unruly triumvirate will soon dominate and deliver DevSecOps faster, cheaper, better, and on an unprecedented scale. In his session at DevOps Summit, Frank Bunger, VP of Customer Success at ScriptRock, will discuss how this cathartic moment will propel the DevOps movement from such stuff as dreams are made on to a prac...
Cloud and datacenter migration innovator AppZero has joined the Microsoft Enterprise Cloud Alliance Program. AppZero is a fast, flexible way to move Windows Server applications from any source machine – physical or virtual – to any destination server, in any cloud or datacenter, using its patented container technology. AppZero’s container is also called a Virtual Application Appliance (VAA). To facilitate Microsoft Azure onboarding, AppZero has two purpose-built offerings: AppZero SP for Azure,...
WSM International, the pioneer and leader in server migration services, has announced an agreement with WHOA.com, a leader in providing secure public, private and hybrid cloud computing services. Under terms of the agreement, WSM will provide migration services to WHOA.com customers to relocate some or all of their applications, digital assets, and other computing workloads to WHOA.com enterprise-class, secure cloud infrastructure. The migration services include detailed evaluation and planning...
This Enterprise Strategy Group lab validation report of the NEC Express5800/R320 server with Intel® Xeon® processor presents the benefits of 99.999% uptime NEC fault-tolerant servers that lower overall virtualized server total cost of ownership. This report also includes survey data on the significant costs associated with system outages impacting enterprise and web applications. Click Here to Download Report Now!
IBM’s Blue Box Cloud, powered by OpenStack, is now available in any of IBM’s globally integrated cloud data centers running SoftLayer infrastructure. Less than 90 days after its acquisition of Blue Box, IBM has integrated its Blue Box Cloud Dedicated private-cloud-as-a-service into its broader portfolio of OpenStack® based solutions. The announcement, made today at the OpenStack Silicon Valley event, further highlights IBM’s continued support to deliver OpenStack solutions across all cloud depl...
SYS-CON Events announced today that Pythian, a global IT services company specializing in helping companies leverage disruptive technologies to optimize revenue-generating systems, has been named “Bronze Sponsor” of SYS-CON's 17th Cloud Expo, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Founded in 1997, Pythian is a global IT services company that helps companies compete by adopting disruptive technologies such as cloud, Big Data, advance...