CORRECTION -- Alvarion (in Receivership) Provides Update on Company's
Creditors' Plan of Settlement
Court Approves Payments to Silicon Valley Bank and Employees
ROSH HA'AYIN, Israel, Nov. 13, 2013 (GLOBE NEWSWIRE) -- The following is a
corrected version of a release issued earlier today by Alvarion^® Ltd. (in
Alvarion^® Ltd. (in receivership) (Nasdaq:ALVR) announced today that the
District Court of Tel Aviv – Yaffo held a hearing regarding the creditors'
plan of settlement which was submitted to the Court on November 6, 2013.
Under the plan, the Company's creditors will receive NIS 6.25 million of the
proceeds from the sale of the Company's assets as stipulated in the asset sale
agreement and will be issued Company shares constituting 15% of the Company's
share capital. The proposed creditors' plan of settlement is subject to
certain conditions, including approval by a creditors' meeting and the
continued listing of the Company on NASDAQ and the Tel Aviv Stock Exchange
after January 13, 2014. In order to meet this condition and remain listed, the
Company must emerge from bankruptcy proceedings and demonstrate compliance
with all applicable requirements for initial listing on NASDAQ by that date.
The Court has scheduled another hearing to further discuss the proposed
creditors' plan of settlement for December 2, 2013.
Separately, the Court approved payments totaling NIS 12.2 million to Silicon
Valley Bank, a secured lender, as well as advance payments to the Company's
employees, defined as senior preferential creditors. These payments were made
from proceeds already received from the operation and sale of the Company's
This press release contains forward-looking statements within the meaning of
the "safe harbor" provisions of the Private Securities Litigation Reform Act
of 1995.The forward-looking statements contained herein are based largely on
the Company's current expectations and assumptions and are subject to a number
of risks and uncertainties.The Company cautions that trading in its ordinary
shares is highly speculative and poses substantial risks.The Company
emphasizes that its currently outstanding ordinary shares may have limited
value, and urges extreme caution with respect to any existing or future
investments in its ordinary shares. In addition, there is no guarantee that
the Company will be successful in keeping its ordinary shares listed on NASDAQ
and consequently on the Tel Aviv Stock Exchange.The Company makes no
commitment to revise or update any forward-looking statements to reflect any
facts, events or circumstances after the date any such statement is made, that
may bear upon such forward-looking statements.
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