TORONTO, ONTARIO--(CCNMatthews - Jan. 31, 2007) - Counsel Corporation (TSX:CXS) announced today that the Ontario Superior Court of Justice has dismissed, with costs, the application made by Amaranth LLC seeking an Ontario Court order requiring Counsel to purchase 16,019,155 common shares of Counsel owned by Amaranth at fair value.
Amaranth alleged that the failure to obtain shareholder approval of the sale by Counsel's subsidiary, C2 Global Technologies Inc., of certain of its assets and the sale by Counsel of certain real estate properties, constituted an act of oppression. The Court determined that the sales did not constitute the sale of substantially all of Counsel's assets, nor were they out of the ordinary course of Counsel's business, and consequently did not require shareholder approval.
"This decision vindicates our position that Amaranth's application was opportunistic and without merit" said Allan Silber, Counsel's Chairman and CEO.
About Counsel Corporation
Counsel Corporation (TSX:CXS) is a diversified company focused on the acquisition of businesses in diverse industry sectors and at various stages of their business life cycles. Its goal for acquired businesses is to create value within these businesses and to realize on the value creation at the appropriate time. Counsel currently operates in four specific sectors: long-term care, case goods, real estate, and patent licensing. For further information, visit Counsel's website at www.counselcorp.com.
The statements made in this release that are not historical facts contain forward-looking information that involves risks and uncertainties. All statements, other than statements of historical facts, which address Counsel Corporation's expectations, should be considered as forward-looking statements. Such statements are based on knowledge of the environment in which Counsel Corporation currently operates, but because of the factors listed herein, as well as other factors beyond Counsel Corporation's control, actual results may differ materially from the expectations expressed in the forward-looking statements. Important factors that may cause actual results to differ from anticipated results include, but are not limited to, obtaining necessary approvals and other risks detailed from time to time in the Company's securities and other regulatory filings.
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Executive Vice President, Secretary & CFO