Tellza Seeks Shareholder Approval for Share Consolidation
TORONTO, ONTARIO–(Marketwired – April 15, 2016) – Tellza Communications Inc. (TSX:TEL) announced today that it intends to propose a 15:1 consolidation of its issued and outstanding common shares (the “Shares”) at its annual and special meeting of shareholders to be held on May 26, 2016. The record date for the determination of shareholders entitled to receive notice of and vote at the meeting is April 6, 2016. If the shareholders pass the resolution to consolidate the Shares as proposed, management anticipates that it will effect the consolidation shortly after the meeting subject to the prior approval of The Toronto Stock Exchange. Upon the consolidation being effective, management estimates that there will be approximately 11,240,000 Shares outstanding. The management information circular regarding the annual and special meeting of shareholders and describing the proposed consolidation of Shares will be sent to shareholders and filed with the Canadian securities regulatory authorities in advance of the meeting.
Tellza has been profitable for five years and has grown significantly, while improving its balance sheet. At the same time, Tellza has not been successful in converting its operating success into recognized shareholder value. Management believes that the higher per share price resulting from a share consolidation could increase shareholder value as it may help generate interest in the Company among investors, reduce shareholder transaction costs and improve trading liquidity.
“At current stock pricing, many institutional investors are simply prohibited from considering an investment in Tellza. By increasing the per share trading price, the proposed share consolidation could generate interest in Tellza among the larger investment community and enhance its value to our existing shareholders” Said Gary Clifford, Executive Chairman.
Tellza is a Technology Company operating in the Communication market. The business is organized into three business units: Tellza Communications, Tellza Technologies and Tellza Investments. Tellza Communications is a global communications company operating under several brands: Route Dynamix, Phonetime, Tel3, and MatchcoM. Tellza Technologies provides real time big data management tools for the telecommunications market. Tellza Investmentsseeks portfolio investment opportunities in various market places. Tellza is a public company listed on the Toronto Stock Exchange (TEL).
The Company’s financial statements and other disclosures are available on SEDAR.
The Company’s corporate profile is located at www.tellza/investors.
Caution Regarding Forward Looking Information:
This press release contains forward-looking statements, which may be identified by words like “expects”, “anticipates”, “plans”, “intends”, “indicates” or similar expressions. These statements are not a guarantee of future performance and are inherently subject to risks and uncertainties. Tellza’s actual results could differ materially from those currently anticipated due to a number of factors set forth in reports and other documents filed by the Company with Canadian securities regulatory authorities from time to time. See www.sedar.com which contains all securities files.
Tellza Communications Inc.
Tellza Communications Inc.
Chief Executive Officer