Concord, Ontario, Canada (December 29, 2011) – RuggedCom Inc., (“RuggedCom”) (TSX:RCM), a leading provider of rugged communications networking solutions designed for mission-critical applications in harsh environments, announced that, further to the press release of RuggedCom on December 28, 2011 announcing the adoption of a limited duration shareholder rights plan (the "Rights Plan"), the Toronto Stock Exchange (the "TSX") determined on December 29, 2011, in accordance with its rules, to defer its consideration of the acceptance for filing of the Rights Plan until the appropriate securities commission has had the opportunity to consider whether it will initiate proceedings under securities laws with respect to the Rights Plan. The deferral does not affect the operation of the Rights Plan which remains effective in accordance with its terms.
The TSX deferral is typical in situations in which a shareholder rights plan can be perceived to have been adopted in response to a take-over bid that has been made or is contemplated or in situations in which a limited duration shareholder rights plan for which shareholder approval will not be sought is adopted. As previously disclosed, the Rights Plan is intended to ensure that in the context of the unsolicited take-over proposal for RuggedCom common shares announced by Belden Inc., the Board has sufficient time to explore and develop strategic alternatives that are in RuggedCom's best interests. The Rights Plan also seeks to ensure the fair treatment of shareholders and to provide them with adequate time to properly assess any potential take-over bid without undue pressure.
Also as previously disclosed, the Board has the discretion to defer the time at which the rights become exercisable to a later date determined by the Board (which it has done in respect of the Belden offer) and to waive the application of the Rights Plan or redeem the rights if the Board determines it is in the best interests of RuggedCom to do so.
About RuggedCom Inc.
RuggedCom is a leading provider of rugged communications networking solutions designed for mission-critical applications in harsh environments. RuggedCom's technology solutions include Ethernet switches, network routers, wireless devices, serial servers, media converters, software and professional services. RuggedCom's products are designed for use in harsh environments such as those found in electrical power substations and "Smart Grids", intelligent transportation systems, industrial process control and military applications.
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Contact Information:
David Ryan
Longview Communications Inc.
416 649 8007
dryan@longviewcomms.ca