Goldray board considers offers to buy the firm

Canadian architectural glass products manufacturer Goldray Inc. announced that the independent committee of the Goldray board of directors has received five conditional offers to purchase the business…

Canadian architectural glass products manufacturer Goldray Inc. announced that the independent committee of the Goldray board of directors has received five conditional offers to purchase the business and assets of Goldray as a going concern pursuant to the Notice of Intention to Make a Proposal pursuant to section 50.4(1) of the Bankruptcy and Insolvency Act (Canada), which was announced on 22 September 2003. All except one of the conditional offers were intended to preserve the business operations and goodwill of Goldray so that the business may continue as a going concern. Following a detailed review of all offers, the Committee recommended the acceptance of what it considers the most favourable offer from a financial standpoint. This offer was approved by the full board and has been forwarded to the Trustee for consideration by the firm“s creditors. The offer is conditional upon a binding purchase and sale agreement being negotiated and executed by 15 October 2003. While specific details of the proposed offer will not be disclosed until a binding purchase and sale agreement is executed, it is expected that Goldray“s unsecured creditors will recover part of their unsecured debt. It is also expected that there will be no surplus funds or return on investment for equity stakeholders. If accepted, completion of the transaction is subject to appropriate creditor and court approval in accordance with the provisions of the Bankruptcy and Insolvency Act (Canada).