Not for dissemination in the United States of America.
VANCOUVER, British Columbia, Jan. 08, 2018 (GLOBE NEWSWIRE) -- Premier Diversified Holdings Inc. ("Premier" or the "Company") (CSE:PDH) announces that on January 4, 2018, the board of Sequant Re Holdings Limited ("SRHL") voted to initiate proceedings to move SRHL into a members' voluntary liquidation. The board of SRHL has advised Premier that it anticipates that the formal liquidation actions will be taken, and statutory notices will be published prior to January 31, 2018.
SRHL through its principal representative has notified The Bermuda Monetary Authority of its desire to de-register as an insurer and surrender its Class 3 commercial insurance company licence under the Insurance Act 1978 (Bermuda).
Currently, Premier holds a total of 6,626,000 common shares of SRHL, approximately 47.35% of the issued and outstanding shares of SRHL, all of which are held indirectly through Premier Diversified Holdings (Bermuda) Ltd., a wholly-owned subsidiary of Premier.
"After three years of commitment to locating an institutional partner to fund Sequant’s ILS (Insurance Linked Security) portfolio, it has regrettably come to an unfavourable conclusion," stated Sanjeev Parsad, CEO of Premier Diversified Holdings. "While there was a multitude of interest, meetings and significant due diligence conducted on Sequant, none of the interest materialized into a firm commitment. As such, the board of Sequant decided it was time to move the company into voluntary liquidation. Premier will allocate current and future resources to our other operating businesses showing more progress. A detailed corporate update will be included in our Annual Letter, which will be published alongside our 2017 Financial Statements at the end of this month."
As a result of the liquidation of SRHL, the Company will write down the carrying value of the Investment in Associate in the amount of approximately $2,500,000 to $nil as of September 30, 2017. This impairment loss will be recognized in the statement of loss and comprehensive loss of the Company during the year ended September 30, 2017. Any investments subsequent to September 30, 2017 will be written down to $nil during the three months ended December 31, 2017.
Further Information
Further information regarding Premier may be found on Premier’s website at www.pdh-inc.com and filed on SEDAR at www.sedar.com.
Premier Diversified Holdings Inc. participates in diversified industries through its acquisitions of assets and/or securities of public and private entities which it believes have potential for significant returns. It may act as a holding company (either directly or through a subsidiary) and may participate in management of subsidiary entities to varying degrees.
On behalf of the Board of Directors
"Sanjeev Parsad"
Sanjeev Parsad
President, CEO and Director
For further information, contact:
Sanjeev Parsad, President and CEO
Phone: (604) 678.9115
Cell: (604) 612.3965
Fax: (604) 678.9279
E-mail: sparsad@pdh-inc.com
Web: www.pdh-inc.com
The Canadian Securities Exchange (CSE) has not reviewed the adequacy or the accuracy of the contents of this document. Company information can be viewed here: www.thecse.com. Further information regarding the Company can be found on SEDAR at ww.sedar.com.
Legal Notice Regarding Forward Looking Statements: This news release contains "forward-looking statements" within the meaning of applicable Canadian securities legislation. Forward-looking statements are indicated expectations or intentions. Forward-looking statements in this news release include: that SRHL will be voluntarily liquidated by its members, that certain steps towards liquidation of SRHL will be taken by January 31, 2018, that SRHL will de-register as an insurer and surrender its Class 3 commercial insurance company licence under the Insurance Act 1978 (Bermuda), that Premier will allocate resources to its other businesses; and that Premier will write down the Investment in Associate and recognize the impairment loss a certain way on its financial statements. Factors that could cause actual results to be materially different include but are not limited to the following: that SRHL will not move into or be voluntarily liquidated, that liquidation will occur on a different timeline than indicated in this news release, that SRHL will decide to maintain its registration as an insurer and its insurance licence, that Premier will determine to allocate further resources into SRHL, and that Premier will write down or recognize the loss otherwise than as indicated. Investors are cautioned against placing undue reliance on forward-looking statements. It is not our policy to update forward looking statements.