TSX: AAB last: chg: delayed 15-20 min View More

Aberdeen NAV of $0.96 per Share and First Quarter Financial Results


Download this Press Release (PDF 93 KB)

  • Investment Portfolio increases by $7.0 million
  • Completes 2009 NCIB subsequent to quarter end
  • Royalty Income of $452,000 received in the quarter

Toronto, Ontario, June 12th, 2009: ABERDEEN INTERNATIONAL INC. (“Aberdeen”, or the “Company”) (Toronto Stock Exchange: AAB) is pleased to announce that it has released its financial results for the quarter ending April 30, 2009.

As at April 30, 2009, Aberdeen’s Net Asset Value (“NAV”) was $90.4 million, or $0.96 per share, (NAV of $1.01 per share based on shares outstanding of 87.5 million following completion of NCIB). The components of Aberdeen’s NAV for the 1st quarter are as follows:
  • Cash and cash equivalents of $2.2 million;
  • Portfolio Investments at estimated fair value of $37.1 million;
  • Estimated fair value of the 1% NSR of $39.4 million;
  • Other assets of $23.7 million (including principal receivable from Aberdeen Loan Agreement to Simmer and Jack of $11.9 million); less
  • Total liabilities of $12.0 million (including future tax liabilities of $11.6 million); and
  • Shares outstanding at the end of the quarter of 94,578,839
Stan Bharti, Chairman of Aberdeen stated, “Subsequent to the quarter, management acquired a significant stake in Aberdeen. We also completed the normal course issuer bid for 2009 by purchasing over seven million shares for cancellation. Both of these transactions demonstrate our continued focus on maximizing shareholder value and encourage our share price to increase to more closely reflect our NAV”.

Simmer Loan Agreement

On February 16, 2009, shareholders of Simmers voted against the conversion to equity of the Loan Facility thereby entitling Aberdeen to a 1% Life of Mine NSR on all the Northwest assets of Buffels Gold Mines. Aberdeen has received and continues to receive the 1% royalty from both Simmers and First Uranium for the Buffels underground operation and the Mine Waste Solutions project.

Aberdeen has not received the US$10 million principal repayment due on December 31 2008. Accordingly, the Company is taking all necessary steps to enforce its rights under the Loan Agreement Aberdeen will look to monetize the current royalty stream for the Greater Buffels property in order to focus on its portfolio investment model.

On January 31, 2009, Aberdeen announced it had initiated a Normal Course Issuer Bid (“NCIB”) to purchase for cancellation its common shares through the facilities of the Toronto Stock Exchange. Based on the public float of 73,707,000 common shares, the Company was authorized to repurchase for cancellation a maximum of 7,370,700 shares through January 31, 2010. The Company had re-purchased 295,500 shares during the quarter and subsequent to quarter end repurchased an additional 7,075,200 shares at $0.24 per share to effectively close the NCIB for 2009.

The Company had announced a Private Placement financing on April 20, 2009. The Company ultimately decided to forego the financing in lieu of repurchasing the full NCIB allotment as the repurchase was significantly more accretive to shareholders.

About Aberdeen International Inc:

Aberdeen is a publicly traded global investment and merchant banking company focused on small cap companies in the resource sector. Aberdeen will seek to acquire significant equity participation in pre-IPO and/or early stage public resource companies with undeveloped or undervalued high-quality resources. Aberdeen will focus on companies that: (i) are in need of managerial, technical and financial resources to realize their full potential; (ii) are undervalued in foreign capital markets; and (iii) operate in jurisdictions with moderate local political risk. Aberdeen will seek to provide value-added managerial and board advisory services to companies. The Corporation’s intention will be to optimize the return on its investment over an 18 to 24 month investment time frame.

Aberdeen International Inc.

Please visit the Company’s web site at www.aberdeeninternational.ca or write us at smoore@aberdeeninternational.ca
For further information please contact:

George Faught Stan Bharti
President and CEO Executive Chairman
Tel: (416) - 861 – 5887 Tel: (416) - 861-5876

Cautionary Notes

Cautionary Note Regarding Forward-Looking Information This press release contains "forward looking information" within the meaning of applicable Canadian securities legislation. Forward looking information includes, but is not limited to, statements with respect to the future financial or operating performance of the Company, valuations of investments, proposed transactions and investments, investment philosophy, Simmers litigation, liabilities and commitments and royalties. Generally, forward looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: financing not being available at desired prices; general business, economic, competitive, political and social uncertainties; other inherent risks of the mining industry and investment industry. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws