Frontier Pacific Adopts
Shareholder Rights Plan
Vancouver
,
British Columbia
? May 16, 2008
? Frontier Pacific Mining Corporation (?Frontier Pacific? or the
?Company?) (TSX-V:FRP) announced today that its Board of Directors (the
?Board?) has adopted a Shareholders Rights Plan (the ?Rights Plan?).
The Rights Plan is a ?new generation? plan in
the form consistent with plans that in the past have been supported by
regulatory authorities and recommended by proxy advisory services.
The Rights Plan has been adopted to encourage the fair treatment of
shareholders in connection with any take-over bid for the Company?s securities,
including the unsolicited offer of Eldorado Gold Corporation (?Eldorado?).
As previously announced, the Board has formed
a Special Committee with a mandate that includes assessing Eldorado?s bid.
The Special Committee is supportive of the
Rights Plan because, among other things, the Rights Plan seeks to ensure that
the shareholders of the Company, the Special Committee and the Board of
Directors have adequate time to consider and fully evaluate any bid for the
Company?s securities, including that proposed by Eldorado, and to explore
strategic alternatives that could provide better long term value to
shareholders.
The Board did not adopt the Rights Plan to prevent a take-over of
the Company, to secure the continuance of management or the directors in their
respective offices, or to deter fair offers for the Common Shares of the
Company.
Under the Rights Plan, those bids that
meet certain requirements intended to protect the interests of all shareholders
are ?Permitted Bids?.
Permitted Bids
must be made by way of a take-over bid circular prepared in compliance with applicable
securities laws and, among other conditions, must be for all common shares of
the Company and remain open for a minimum of 60 days.
If a take-over bid is not a Permitted Bid
under the Rights Plan, the Rights will entitle shareholders, other than any
shareholder or shareholders making the take-over bid, to purchase additional
common shares of Frontier Pacific at a substantial discount to the market value
at the time.
This mechanic helps to
protect the Company and its shareholders from bids that may not be in their
best long term interests.
Shareholders will have the opportunity to vote on the Rights Plan at
a general meeting of shareholders of Frontier Pacific to be held on June 19,
2008.
Frontier expects to mail an
information circular for such meeting to its shareholders on May 22, 2008.
The Rights Plan is also subject to the
approval of the TSX Venture Exchange.
A
copy of the Rights Plan will be available at
www.sedar.com.
For further information and/or questions please contact:
Thomas
Weisel Partners
Attention:
John
Jentz
70 York St.
, 10th Floor
Toronto, ON M5J 1S9
Direct +1.416.815.1549
Fax +1.416.815.1808
Email jjentz@tweisel.com
GEORGESON
100
University Avenue
11th Floor,
South
Tower
Toronto
,
Ontario
M5J 2Y1
North American Toll Free: +1.866.374.9879
The TSX Venture Exchange (the "Exchange") has not reviewed and
does not accept responsibility for the accuracy or adequacy of this news
release. The Exchange has in no way passed upon the merits of the proposed
transaction and has neither approved nor disapproved the contents of this news
release.
This news release may contain forward-looking statements that are based
on Frontier Pacific expectations, estimates and projections regarding its business
and the economic environment in which it operates. These statements are not
guarantees of future performance and involve risks and uncertainties that are
difficult to control or predict. Therefore, actual outcomes and results may
differ materially from those expressed in these forward-looking statements and
readers should not place undue reliance on such statements. Statements speak
only as of the date on which they are made, and the Company undertakes no
obligation to update them publicly to reflect new information or the occurrence
of future events or circumstances, unless otherwise required to do so by law.
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Frontier Pacific Mining
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PRODUCTEUR |
CODE : FRP.V |
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ProfilIndicateurs de MarchéVALEUR : Projets & res.Communiqués de PresseRapport annuelRISQUE : Profile actifsContactez la cie |
Frontier Pacific est une société développant des projet miniers basée au Canada. Frontier Pacific est productrice d'or en Turquie, et détient divers projets d'exploration en Bolivie, en Colombie et en Turquie. Son principal projet en production est OVACIK en Turquie et ses principaux projets en exploration sont MACUSANI EAST au Perou, DIXIE CREEK en Turquie, TARAIRA en Colombie et SAN JAVIER PROJECT en Bolivie. |