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News Release
For Immediate Release
Oxbow to acquire the business of Great Lakes Carbon Income Fund at C$14.00 per unit in cash
As announced on March 27, 2007, Rain Commodities (USA) Inc. ("Rain USA") did not exercise its right to match Oxbow's C$14.00 per Unit superior offer, and accordingly, the Fund has terminated its agreement with Rain USA to acquire all of the assets of the Fund (the "Rain Agreement"). The Fund has paid a subsidiary of Rain USA a termination fee of C$17.0 million in accordance with the terms of the Rain Agreement.
As announced on March 20, 2007, the Board of Trustees had determined that Oxbow's C$14.00 per Unit proposal constituted a superior proposal for the purposes of the Fund's existing acquisition agreement (the "Rain Agreement") with Rain USA. Under the terms of the Rain Agreement, Rain USA had a right to match any offer made by another acquirer before the Fund was entitled to enter into an agreement with the competing acquirer.
The Oxbow Transaction is subject to approval by 66 2/3rd of the votes represented at a Unitholders meeting, regulatory approvals and other customary closing conditions. The Fund has set March 28, 2007 as the record date and May 2, 2007 as the date for a special meeting of Unitholders to approve the terms of the Oxbow Transaction and the wind up of the Fund. Closing is anticipated to occur in the second week of May, 2007.
A management information circular setting out details of the Oxbow Transaction will be made available on SEDAR at www.sedar.com and will be mailed to Unitholders as soon as practicable. As a result of the termination of the Rain Agreement, the Unitholders meeting scheduled for March 29, 2007 will be cancelled and the supplemental circular referenced in the Fund's March 20, 2007 news release will not be mailed or filed.
After submission of the requisite notices and applications, it is intended that the Units will be de-listed from the Toronto Stock Exchange as soon as practicable following the closing of the Oxbow Transaction. Following the redemption of the Units, the Fund will cease to be a reporting issuer and will be wound up.
Contacts:
Oxbow Corporation
www.oxbow.com
Brad Goldstein
561-697-4300
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