Masisa Announces the Termination of Its ADR Program in the New York Stock Exchange
February 20 2008 - 5:01PM
PR Newswire (US)
SANTIAGO, Chile, Feb. 20 /PRNewswire-FirstCall/ -- Masisa (the
"Company") has decided to delist its American Depositary Shares
("ADSs") representing common stock without nominal (par) value of
the Company ("Common Stock"), and evidenced by American Depositary
Receipts ("ADRs"), from the New York Stock Exchange (the "NYSE").
Masisa has also decided to terminate the deposit agreement relating
to the ADSs (the "Deposit Agreement) entered into on March 24, 2005
with The Bank of New York as the depositary bank (the "Depositary
Bank"). Masisa intends, as soon as it is permitted to do so after
the delisting and termination of its ADR program, to seek
deregistration and termination of its reporting obligations under
Sections 12(g) and 15(d) of the U.S. Securities and Exchange Act of
1934, as amended (the "Exchange Act"). The board's decision on
February 20, 2008 to delist the ADSs from the NYSE, terminate its
ADR program and seek deregistration is based on several factors,
including the following: - At present less than 5% of the
outstanding Common Stock is held in the form of ADSs; and - Taking
this action would allow Masisa reduce its operating expenses. At
present, the Company expects to file a Form 25 with the SEC on or
about March 3, 2008 and anticipates that delisting of the ADSs will
occur 10 days after the filing of that form. After delisting and up
until the time of termination of the ADR program, the ADRs will be
traded in the over-the- counter market. The Company will notify the
Depositary Bank on February 20, 2008 that it wishes to terminate
the ADR program. Upon such notification, the Depositary Bank will
establish a termination date for the Deposit Agreement
("Termination Date") and send notice of such date to ADR holders.
The Termination Date will be no sooner than 60 days from the date
of the notice to ADR holders and is estimated to occur on or about
April 28, 2008. Upon termination of the Deposit Agreement, ADR
holders will have 60 days to exchange their ADRs for certificates
of Common Stock. If an ADR holder does not exchange its ADRs within
the aforementioned 60 day period, the Depositary Bank will be
authorized to sell the Common Stock underlying such ADRs and
provide to such holders the net proceeds from such sales. In order
to allow for such sales of Common Stock within such timeframe, the
Company and the Depositary Bank have agreed to amend the Deposit
Agreement to decrease the period after termination during which the
Depositary Bank must hold underlying Common Stock from one year to
60 days. It is important to mention that Masisa will maintain its
high corporate governance standards. Such behavior has allowed the
Company to be recognized as one of the top five companies in Latin
America in terms of corporate governance standards by MZ Consult's
IR Global Ranking. Similarly, the Company will maintain its
transparent and fluid communication with the investor community
through its fully dedicated Investor Relations team. This includes
maintenance Quarterly Results Conference Calls, Quarterly Earnings
Press Releases and general Press Releases in English. About Masisa
Masisa is a leading furniture and interior architecture board
production and marketing company in Latin America. It has forest
assets throughout most of the region, thereby guaranteeing the raw
material for the board business. Masisa's value proposal is to be a
reliable brand, close to all its stakeholders, anticipating market
needs by means of product and service innovation, and operating
responsibly towards society and the environment. The Company has 13
productive plants in Chile, Argentina, Brazil, Venezuela and
Mexico, all of which have the ISO 14.001 and OHSAS 18.001
certification. Masisa also has three other divisions that operate
in synergy with the core board division: forestry, solid wood, and
retail, which generate value and make the Company more competitive.
Masisa is a publicly-traded corporation and its shares are traded
on the Santiago Stock Exchange, and on the New York Stock Exchange
(NYSE) by means of ADRs. The Company had total sales of US$886.5
million in 2006. For further information please contact: Investor
Relations (56 2) 350 6038 Internet: http://www.masisa.com/
DATASOURCE: Masisa S.A. CONTACT: Investor Relations, Masisa,
+011-562-350-6038, Web site: http://www.masisa.com/
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