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Auctions International responds to Buy-Out Offer from Car Help USA
Auctions International is providing its shareholders with information that explains where the responsibility lays for yesterday's market fluctuation.
Kelowna, British Columbia: February 09, 2011: On Thursday, February 03, 2011, at 1:10 AM CST, Auctions International Inc. President and CEO Doug Mann received an e-mail from Dan West, claiming to be President and CEO of Car Help USA, indicating that his company was interested in purchasing all the shares of AUCI for 0.10 per share. The e-mail was copied to Jean-Eric Plamandon, President and CEO of Amero International.
On the morning of Thursday February 03, 2011, Doug Mann spoke to Mr. West and explained to him the appropriate manner in which this type of transaction should take place and suggested that he discuss it with a securities lawyer and transfer agent. Mann also requested that West send him a letter on company letterhead indicating their intentions. When the letter that arrived was not acceptable and not on company letterhead, Mann asked Dr. W. George Newman for assistance and, on Friday morning, Newman sent an e-mail to West indicating that the letter needed to indicate who they were, what they wanted and how they wanted it to happen so that a reasonable process of due diligence could take place before the company could advise shareholders as to the validity and reasonableness of the offer.
Newman also told Mann that in his opinion there was an ulterior motive or hidden agenda because they could purchase the stock on the open market for less than one tenth of what they were offering. Later in the day on Friday, West asked Mann to send out a press release about the offer. Mann told West that was not appropriate. On Monday, West sent out his own press release and the market responded. On Tuesday, West sent out another press release indicating the offer was Withdrawn. Neither Newman nor Mann traded a single share, and were actually beginning a process of due diligence to check the validity of the offer and the likelihood of there being money on the table with the suspicion that there was an ulterior motive.
Newman has been shepherding a reverse merger with Amero International for a few weeks now and as far as AUCI is concerned, nothing has changed. Doug Mann advises all shareholders that in the event of a similar series of events, in the future, allow the company to do its due diligence and send out a responding press release. Further to the above, Mr. Mann is recommending to shareholders that they themselves perform their own due diligence before purchasing any stock.
In the event that any shareholder of Auctions International wishes to discuss this matter further with Dan West, his contact information is as follows.
Dan West CEO
Auctions International had issued a press release early last week announcing the company's discussions around a reverse merger with Amero International. As far as AUCI is concerned, nothing has changed in that regard and further discussions will take place on Thursday.