NOVARISE RENEWABLE RESOURCES INTL LTD On 9 November 2015, Novarise Renewable Resources International Ltd (the Company) announced that it has entered into an implementation and funding agreement (Agreement) with its controlling shareholders, Great Rises International Investment Ltd, Great Rises New Resources Technology Co., Ltd and Great Rises International Group Investment Ltd (together, GRII) in relation to the proposed privatisation of Novarise (Capital Reduction).
Pursuant to the Agreement, Novarise will be privatised by way of a selective reduction of capital involving the cancellation of all shares in Novarise other than those held as at the relevant record date by GRII and its associates (Exiting Shareholders).
In accordance with the Agreement and subject to the requisite approvals, the Exiting Shareholders will receive $0.16 cash per share for the cancellation of their shares in Novarise. It was also proposed by GRII that Novarise will be delisted from ASX if the Capital Reduction is implemented successfully.
Other salient terms and conditions of the Agreement were released by the Company on 9 November 2015 via its ASX Announcement.
Update of funding for GRII
GRII has advised the Company that it has received preliminary non-binding letter of loan offer from an international Hongkong bank to enable GRII to fund and complete the Capital Reduction. GRII, through its controlling shareholder Mr Qingyue Su, has advised the Company that; subject to finalising the terms of the loan, it will likely accept the loan offer within the next four weeks.
NOVARISE RENEWABLE RESOURCES INTERNATIONAL LTD A CN 138 537 596
Australian Office: Suite 5, Level 1, 325 Pitt Street , Sydney , NSW 2000
Chinese Office: No 2- 16A Qingmeng Park, Quanzhou Economy & Technology Development Zone, Quanzhou, Fujian Province,
The People's Republic of China www.novarise.com .au
ME_ 128230932_ 1{W2007)
Notices of meetings
In accordance with the terms and conditions of the Agreement and when the loan to GRII is formally finalised , its is anticipated that Novarise will prepare notices of meeting documentation for the purpose of calling and arranging to hold shareholder meetings at which shareholders will be asked to consider and, if thought fit, approve the Capital Reduction.
Details of the two necessary special resolutions (to be passed at two separate general meetings, the second commencing immediately after the conclusion or adjournment of the first) will be set out in the notice of meetings documentation to be sent to shareholders. The report of the independent expert (to be appointed shortly) will be included in the documentation .
It is currently proposed that the notices of meeting and independent expert's report will be despatched to shareholders in around the third week of April to the second week of May 2016, with the shareholder meetings proposed to be held in around mid May 2016 to mid June 2016.
Ongoing financial support
The Company is also advised that its majority shareholder and CEO, Mr Qingyue Su, has reassured and reiterated his assurances of ongoing support to the Company so as to ensure that the Company continues to trade in accordance with the normal course of its business.
The Company will continue to keep the market updated. Dated: 26 February 2016
Signed:
Name: Winnie Chen Company Secretary
For and on behalf of Novarise
NOVARISE RENEWABLE RESOURCES INTERNATIONAL LTD ACN 138 537 596
Australian Office: Suite 5, Level 1, 325 Pitt Street , Sydney, NSW 2000
Chinese Office: No 2- 16A Qingmeng Park, Quanzhou Economy & Technology Development Zone, Quanzhou, Fujian Province,
The People's Republic of China www.novarise.com.au
ME_128230932_1 (W2007)
Novarise Renewable Resources International Ltd. issued this content on 29 February 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 29 February 2016 04:44:11 UTC
Original Document: http://www.novarise.com.au/announcements/2016/ASX-Announcement-update-of-funding-for-SCR.pdf
