Board of Directors of Omega Hydrocarbons Ltd. Recommends Shareholders Reject Inuvialuit Energy Inc. Offer.CALGARY, Alberta--(BUSINESS WIRE)--Oct. 23, 1995--OMEGA HYDROCARBONS hydrocarbons (hīˈ·drō·kärˑ·b  nz),n. LTD LTD 1 Laron-type dwarfism 2 Leukotriene D 3 Long-term depression, see there 4. Long-term disability (TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). :OMH OMH Office of Mental Health OMH Office of Minority Health OMH Orange County (airport code, VA) OMH Office Municipal d'Habitation OMH On My Honor OMH Oatmeal Milk and Honey (soap) OMH Ohhh... My Head.. ) Omega Hydrocarbons Ltd. ("Omega") announced today that its Board of Directors has unanimously recommended that its shareholders reject the offer recently made by Inuvialuit Energy Inc. ("IEI IEI Institution of Engineers of Ireland IEI International Electronics Inc IEI Institution of Engineers India IEI International Epidemiology Institute IEI Israel Export Institute IEI Indoor Environmental Institute IEI Interrupt Enable Input Offer"). The IEI Offer was made on October 11, 1995 to purchase all of the issued and outstanding common shares of Omega on the basis of $2.75 cash per common share. The Omega Board of Directors further recommended that shareholders not tender their shares to the IEI Offer. A Directors' Circular containing these recommendations was mailed to all shareholders on October 20, 1995. The Board of Directors relied upon an opinion of Peters & Co. Limited ("Peters & Co."), which stated that the IEI Offer is inadequate from a financial point of view to the holders of Omega's common shares. The Board of Directors is of the view that the IEI Offer fails to recognize the underlying value of the Omega common shares for the following additional reasons: i) the IEI Offer does not reflect the value of Omega's recent exploration success and development projects; ii) the IEI Offer does not adequately reflect the value of Omega's income tax pools; iii) the IEI Offer has been opportunistically timed to take advantage of a period of depressed trading prices Trading price The price at which a security is currently selling. of the Omega common shares; and iv) the IEI Offer is below the average consideration for oil and gas reserves and oil and gas production in comparable transactions. Omega, through Peters & Co., is seeking alternative cash or share exchange offers for all of the common shares of Omega. As of October 20, 1995, 17 parties had executed confidentiality agreements entitling them to attend at a data room to examine comprehensive and updated information regarding Omega. Omega further announced that shareholders holding in excess of 50 percent of the Omega common shares have indicated that they do not presently intend to tender to the IEI Offer. CONTACT: Omega Hydrocarbons Ltd. Dennis E. Hall, 403/294-7200 REPEATS: New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of 212-575-8822 or 800-221-2462; Boston 617-236-4266 or |
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