Offeror(s): Avenport Investment Corporation

Independent Adviser(s): Simmons Corporate Finance (Rule 18)

Company Meeting Date: 01/08/2010

On 21 June 2010, Sealegs Corporation Limited (“Sealegs”) announced that it intended to raise $6.2 million of equity by allotting 31 million shares to existing shareholder Avenport Investment Corporation (“Avenport”) at a subscription price of $0.20 per share.

 

Prior to the allotment, Avenport held or controlled 19.87% of the voting rights in Sealegs. As a result of the allotment, Avenport’s voting control would increase to 39.89%. As such, Sealegs was required to obtain shareholder approval for the allotment.

 

At an annual meeting of Sealegs shareholders held on 1 August 2010, shareholders approved the allotment to Avenport. Simmons Corporate Finance prepared a rule 18 independent adviser’s report on the merits of the allotment.