Westaim Corporation Successfully Completes Expansion Plans

Westaim Corporation Completes Strategic Share Consolidation

The Westaim Corporation (TSXV: WED) is excited to announce the successful completion of a significant statutory plan of arrangement. This strategic move is part of its transaction with CC Capital Partners, LLC, known as the Transaction. The arrangement has come with multiple enhancements aimed at bolstering the company's framework.

Overview of the Arrangement

As part of the arrangement, a share consolidation has taken place. Each six pre-consolidation shares have been converted into one post-consolidation common share, a step intended to streamline the company’s capital structure. Following this adjustment, Westaim now has 21,706,501 common shares issued and outstanding, which are set to begin trading on the TSX Venture Exchange (TSXV) under the new CUSIP number effective immediately.

Transition to New Incorporation

Another crucial facet of this restructuring is the change in Westaim's jurisdiction of incorporation from the Province of Alberta to the State of Delaware. This redomiciliation represents a strategic choice to align with a regulatory framework that may better support its operational goals and shareholder interests in the long run.

Impact on Shareholders

Registered shareholders will receive a letter of transmittal regarding the share consolidation. They are required to submit their pre-consolidation share certificates along with the executed letter to Computershare Investor Services Inc. This process is essential for receiving new certificates representing their consolidated shares or for any monetary returns if they end up with fewer than one whole share post-consolidation.

Management Changes

As a result of the redomiciliation, changes have been made to the management team. Notably, Robert Kittel has stepped down as Chief Operating Officer and Corporate Secretary, while Ian Delaney transitions to Chair of the Board. J. Cameron MacDonald will continue serving as President and rise to the role of Corporate Secretary, ensuring leadership stability during this transition.

Shareholder Support for the Transaction

The support from shareholders has been resounding, with an overwhelming 99.9% voting in favor of the arrangement during the recent special meeting. The remaining components of the Transaction are anticipated to conclude by the end of the first quarter of the coming year, contingent upon standard closing conditions.

About Westaim

Westaim is dedicated to investing in enterprises primarily in the financial services sector. The objective is to generate long-term capital appreciation while preserving real wealth for shareholders. The company strategically pursues investment opportunities to enhance value and sustainability across its portfolio. Westaim holds significant stakes in Arena and the associated Arena FINCOs, which reflects its commitment to the financial services industry.

Contact for More Information

For further details, shareholders and interested parties can reach out to:
J. Cameron MacDonald, President and Chief Executive Officer
Robert T. Kittel
The Westaim Corporation
(416) 969-3333

Frequently Asked Questions

What is the main objective of Westaim Corporation's recent changes?

The primary goal of the recent changes, including the share consolidation and redomiciliation, is to streamline the company's capital structure and enhance its operational framework in alignment with the financial services industry.

How will the share consolidation impact existing shareholders?

Shareholders will receive new share certificates reflecting the post-consolidation amount, and those with fewer than one whole share may be entitled to cash payments.

Who will be responsible for managing Westaim moving forward?

J. Cameron MacDonald will continue as President and take up additional responsibilities as Corporate Secretary, while Ian Delaney will lead as Chair of the Board.

When will the post-consolidation shares begin trading?

The post-consolidation shares are expected to commence trading on the TSX Venture Exchange immediately after the completion of the consolidation.

What should non-registered shareholders do for the consolidation?

Non-registered shareholders do not need to take any action. Those with queries about the consolidation should contact their intermediaries.

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