IOU Financial Announces Results of Annual General and Special Meeting
MONTREAL, May 23, 2014 /CNW Telbec/ - IOU Financial Inc. (TSXV: IOU) ("IOU
Financial" or the "Company") is pleased to announce the results of its Annual
General and Special Meeting of Shareholders (the "Meeting") held on May
At this Meeting, the Company's shareholders voted in favour of the following
-- the election of each of Guy Charette, David Cynn, Philippe
Marleau and Evan Price as directors of the Company to hold
office until the next annual meeting of shareholders or until
their successors are elected or appointed;
-- the appointment of BDO Canada LLP, Certified Professional
Accountants, as auditors of the Company until the next annual
meeting of shareholders or until their successors
-- the approval of the Company's rolling 10% Stock Option Plan, as
required annually by the policies of the TSX Venture Exchange;
-- the approval of the sale of up to $250 million of loans over
the next five years to the Palos/IOU High Yield Fund managed by
Palos Management Inc.; and
-- the amendment to the Company's Articles of Incorporation to
restate its share capital in order to simplify its current
equity capital structure, by canceling some authorized but non
issued classes of shares and by creating a new class of shares
designated as Common Shares (the "Common Shares"). Upon the
issuance of the Certificate of Amendment in respect of the
Articles of Incorporation of the Company, the Company proposes
to convert each one of the Class B Common Shares issued and
outstanding immediately prior to the issuance of the
Certificate of Amendment into one Common Share (the "Share
Full details of the matters voted upon at the Meeting are set forth in the
Management Proxy Circular (the "Circular") dated April 17, 2014 which was
prepared and mailed in connection with the Meeting and is available under the
Company's profile on SEDAR at www.sedar.com.
Procedure for Share Conversion
Contrary to what was indicated in the Circular, upon implementation of the
Share Conversion, no action will be required on the part of the shareholders.
Shareholders will not be required to exchange their share certificates
representing Class B Common Shares for share certificates representing Common
Shares and, upon completion of the Share Conversion, all certificates
representing Class B Common Shares prior to the completion of the Share
Conversion will cease to represent such Class B Common Shares and will
automatically represent an equivalent number of Common Shares. Similarly, no
action will be required on the part of shareholders who hold Class B Common
Shares through a bank, broker or other nominee.
Each shareholder holding Class B Common Shares on the date of the Share
Conversion will be entitled to exchange such holder's certificates formerly
representing Class B Common Shares for certificates representing Common Shares
upon delivering such certificates to Computershare Investor Services Inc.
("Computershare"), at its office in Montréal, along with such other documents
as Computershare may require.
About IOU Financial Inc.
IOU Financial, via its U.S. subsidiary, IOU Central, provides small businesses
throughout the U.S. access to the capital they need to seize growth
opportunities quickly. Typical customers include medical and dental practices,
grocery and retail stores, restaurant and hotel franchisees and e-commerce
companies. In a unique approach to lending, IOU Central's advanced, automated
application and approval system accurately assesses applicants' financial
realities, with an emphasis on day-to-day cash flow trends. It makes loans of
up to $100,000 to qualified applicants within a few business days, with
affordable charges favorable to cash-flow management. IOU Central's speed and
transparency make it a trusted alternative to banks. To learn more visit:
Forward Looking Statements
Certain information set forth in this news release may contain forward-looking
statements that involve substantial known and unknown risks and uncertainties.
These forward-looking statements are subject to numerous risks and
uncertainties, certain of which are beyond the control of IOU including, but
not limited to, the impact of general economic conditions, industry
conditions, dependence upon regulatory and shareholder approvals, the
execution of definitive documentation and the uncertainty of obtaining
additional financing. Readers are cautioned that the assumptions used in the
preparation of such information, although considered reasonable at the time of
preparation, may prove to be imprecise and, as such, undue reliance should not
be placed on forward-looking statements. IOU does not assume any obligation to
update or revise its forward-looking statements, whether as a result of new
information, future events, or otherwise.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.
SOURCE IOU FINANCIAL INC.
Philippe Marleau Chief Executive Officer (514) 789-0694 ext. 225
Mayco Quiroz Chief Financial Officer (514) 789-0694 ext. 298
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CO: IOU FINANCIAL INC.
NI: FIN 2575 WNEWS
-0- May/23/2014 21:18 GMT
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