Mercer, Fibrek plan to appeal to Supreme Court of Canada a decision to reinstate cease trade order against private placement by Fibrek of special warrants to Mercer; Mercer CEO says decision unfair to Fibrek shareholders
March 28, 2012
– Mercer International Inc. (Nasdaq:MERC - News) (TSX:MRI.U) ("Mercer") announced that the Quebec Court of Appeal has overturned the previously announced decision of the Court of Quebec, reinstating the cease trade order of the Bureau de decision et de revision (Quebec) (the "Bureau") against the private placement by Fibrek Inc. ("Fibrek") of 32,320,000 special warrants to Mercer (the "Private Placement"). Mercer and Fibrek both plan to seek leave to appeal the decision to the Supreme Court of Canada.
Jimmy S.H. Lee, Mercer's President and Chief Executive Officer, stated: "We are disappointed with the decision of the Quebec Court of Appeal. We continue to believe that the Bureau's decision to cease trade the Private Placement diverged from accepted legal principles and unfairly inhibits Fibrek shareholders from obtaining the higher consideration under our offer for all of the outstanding common shares of Fibrek (the "Offer"). We are continuing with our Offer and are seeking to appeal this recent decision to the Supreme Court of Canada."
Any questions or requests for further information respecting the Mercer's Offer should be directed to Laurel Hill Advisory Group Company, the information agent under Offer, at 1-877-304-0211 (toll free in North America) or 1-416-304-0211 (collect calls) or by email at firstname.lastname@example.org.
Mercer International Inc. is a global pulp manufacturing company. Mercer operates three NBSK pulp mills with a consolidated annual production capacity of 1.5 million tons. To obtain further information on the company, please visit its web site at www.mercerint.com.