Pinetree Capital Ltd. Acquires A $300,000 Convertible Debenture
Of Adb Systems International Ltd.
February 9, 2006
Pinetree Capital Ltd. (TSX:PNP), a Canadian investment company, announces that on February 9, 2006 it acquired ownership pursuant to a private placement of a $300,000 Convertible Debenture (the “ADB Debenture”) of ADB Systems International Ltd. (“ADB”), which debenture is convertible into 2,000,000 common shares of ADB and 2,000,000 ADB warrants (the “ADB Warrants”), with each ADB Warrant convertible into one common share of ADB. Collectively, the 2,000,000 common shares issuable upon conversion of the ADB Debenture and the 2,000,000 common shares issued pursuant to the exercise of the ADB Warrants represent approximately 5.4% of the issued and outstanding common shares of ADB, calculated on a partially diluted basis assuming the exercise of the ADB Debenture and the ADB Warrants only. As a result of this purchase, Pinetree and its joint actors held, as at
February 9, 2006, rights to acquire an aggregate of 11,493,332 common shares of ADB upon exercise of convertible securities. If Pinetree and its joint actors were to exercise all of these convertible securities, their combined ownership would represent a total of 11,493,332 common shares of ADB, or approximately 14.2% of such shares issued and outstanding, calculated on a partially diluted basis assuming the exercise of the securities convertible into 11,493,332 common shares only.
These transactions were made for investment purposes and Pinetree and each of its joint actors could increase or decrease their respective investments in ADB depending on market conditions or any other relevant factor.
Pinetree Capital Ltd. ("Pinetree" or the "Company") was incorporated under the laws of the
Ontario and is publicly traded on the Toronto Stock Exchange (“TSX”) under the symbol “PNP”. Pinetree develops and manages a portfolio of equity securities of private and public issuers engaged in growth businesses in the following three sectors: (i) Uranium, Mining and Oil & Gas; (ii) Biotechnology; and (iii) Technology and Other. Pinetree’s investment focus among these three sectors changes over time, depending on changing investment opportunities. As well, Pinetree takes advantage of special situations and merchant banking opportunities.
For more details about Pinetree and its investments, please visit our website at www.pinetreecapital.com.
This news release contains forward-looking statements within the meaning of the “safe harbour” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties and other factors that may cause Pinetree’s results to differ materially from expectations. These include risks relating to market fluctuations, investee performance and other risks. These forward-looking statements speak only as of the date hereof. Pinetree disclaims any intent or obligation to update these forward-looking statements.
Investor Relations Contact for Pinetree Capital Ltd.:
Executive Vice President and Chief Financial Officer
Pinetree Capital Ltd.
130 King Street West, Suite 2810
Canada, M5X 1A9
Email: firstname.lastname@example.org Web Site: www.pinetreecapital.com