Attention Business Editors:
Nexient Response to TSX Review
TORONTO, December 7/CNW/ - Nexient Learning Inc. ("Nexient") (TSX: NXN) responds to the announcement of review of listing requirements by the Toronto Stock Exchange ("TSX").
On December 5, 2007, the TSX announced that it is reviewing the eligibility of the common shares of Nexient for continued listing on the TSX. In particular, the TSX is examining (i) the financial condition and/or operating results of Nexient; (ii) whether the public distribution price or trading activity of the shares has been so reduced as to not warrant continued listing; (iii) that the market value of the listed shares has been less than $3.0 million for 30 consecutive trading days; and (iv) that the market value of the publicly held listed shares has been less than $2.0 million for 30 consecutive trading days. Nexient has been granted until February 18, 2008 to regain compliance with these requirements.
Nexient and its representatives are currently in discussion with the TSX regarding this matter. Should the TSX decide to de-list the shares of Nexient, the shares may qualify for listing on the TSX Venture Exchange or NEX. Shareholders will be kept apprised of the status of the TSX listing, and other developments affecting Nexient, as this process advances.
As previously announced, on November 14, 2007, Nexient entered into a Memorandum of Understanding (the "MOU") with a third party and Nexient’s debenture holders regarding a recapitalization of the Company. There can be no assurance that any binding agreement will result from this MOU or that any transaction will be completed that would put the Company in a position to meet the TSX listing requirements.
As part of the potential recapitalization, Nexient has reached an agreement with its debenture holders regarding an extension for a period up to February 8, 2008, subject to certain conditions, in respect of debt that was to mature on November 8, 2007. Nexient expects that such extension should be sufficient to permit the closing of the recapitalization contemplated by the MOU entered into on November 14, 2007.
About Nexient Learning Inc.
Nexient Learning Inc. is the largest corporate training and consulting company in Canada. Nexient delivers the broadest choice of top calibre, industry-recognized curricula in information technology, business process improvement and leadership and business skills. Nexient’s learning services include learning management systems, curriculum development and strategic consulting. With 18 locations across Canada, Nexient offers innovative learning solutions in both classroom and online formats. Nexient is traded on the Toronto Stock Exchange as "NXN". More information is available on the company’s website at www.nexientlearning.com.
Forward Looking Statements
This press release contains forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and other factors including economic conditions which may cause the actual results, performance or achievements of the Corporation to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. As previously announced, the Company is assessing all available financing opportunities that will allow the Company to meet its debt obligations that mature in February 2008. The Company will use its best efforts to complete such a financing transaction but can make no assurances that such a transaction will be completed and if so when. The Company has focused its efforts on realizing the synergies of its acquired intellectual property for the purpose of revenue growth however revenue growth may not be achieved because of customer demand, plan execution or competitive forces. There can be no assurance that the financing will be completed or that other forward-looking statements will prove to be accurate and readers should not place undue reliance on forward-looking statements. The Corporation specifically disclaims any obligation to update these forward-looking statements.
For further information please contact:
Donna de Winter, CFO
Nexient Learning Inc.
(416) 964-8688 x2636
ddewinter@nexientlearning.com