The sale of Masterfile to Arius 3D Corp
for $21.4 million is still hanging in the balance. The two companies have agreed to extend to January 31, 2012 the closing of the previously announced proposed acquisition by Arius3D of all of the issued and outstanding securities of Masterfile.
On August 19, 2011, Arius3D and Masterfile announced that Arius3D had entered into a "Share Purchase Agreement" with the shareholders of Masterfile to purchase, on certain conditions, all the securities of Masterfile for CDN$21,379,580. Closing of the transaction was expected to be October 31, 2011. On October 31, 2011, Arius3D and Masterfile announced that the closing had been extended to November 30, 2011 and on November 4th Arius 3D released $450,000 of the $750,00 it has put in escrow to secure payment of a termination fee in the event Arius could not close the deal.
The closing of the transaction has now been extended to January 31, 2012 in order to facilitate the financing efforts of Arius3D. On December 1, 2011, the additional $300,000 in escrow was released to Masterfile. Arius3D has completed its due diligence investigation of Masterfile and is fully satisfied with the results thereof, but in today’s economy raising capital has become more difficult than first anticipated.