Knightswood Financial Corp.: Disposition of Subsidiary-VSM RRSP Distressed Corporation
April 08 2011 - 2:11PM
Marketwired
Knightswood Financial Corp. (TSX VENTURE: KWF) announced today that
it has exercised its put option to sell all the shares of VSM RRSP
Distressed Corporation to an unrelated party. The effective date of
this transaction is July 7, 2011.
About Knightswood Financial Corp.
Knightswood Financial Corp. ("Knightswood") was incorporated in
1987 and operates as a merchant bank providing private entities
("Clients") with solutions to allow them to issue debentures that
are eligible for registered plans (e.g. RRSPs, TFSAs, pension
plans, etc). To assist its Clients, Knightswood establishes a
subsidiary company for each Client which allows the Client's
debenture product to be eligible for registered plans.
Once the subsidiary company is created for our Clients,
Knightswood will either own all or a majority of the voting rights
in the subsidiary company. Knightswood is not involved in the
day-to-day operations of a subsidiary company, but rather, it is
independently managed and controlled by the respective Client's
management team. In addition, Knightswood does not govern the
subsidiary company's operating and financial polices so as to
obtain benefits from its activities. Everyone's interests are
safeguarded by a "put and call" option termination agreement
between Knightswood and the Client.
Neither TSX Venture Exchange 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.
Contacts: Knightswood Financial Corp. Maurice Levesque President
and Director (604) 601-5820 info@knightswoodfinancial.com