(Montreal, February 22, 2007) -- CAE Inc. ("CAE") (NYSE: CGT; TSX: CAE) and Engenuity Technologies Inc. ("Engenuity") (TSX: EGY) jointly announced that CAE will be mailing today to shareholders of Engenuity (the "Shareholders") its offer and a take-over bid circular dated February 21, 2007, and related documents in connection with its previously announced offer for all of the issued and outstanding common shares of Engenuity (the "Shares") at a purchase price of CDN $1.20 per Share in cash (the "Offer").
Included in the package mailed to Shareholders is the directors' circular prepared by Engenuity's board of directors (the "Directors' Circular") unanimously determining that the Offer is fair and in the best interest of Engenuity and recommending that Shareholders accept the Offer and tender their Shares. The board of directors of Engenuity had received an opinion from their financial advisor Raymond Chabot Grant Thornton that the offer price is fair, from a financial point of view, to Shareholders of Engenuity. The offer price represents a premium of 14% to the volume-weighted average closing price of Engenuity's Shares on the Toronto Stock Exchange for the 20 trading days preceding the announcement of the Offer.
The details of the Offer are contained in the take-over bid circular. The Offer and take-over bid circular, the Directors' Circular and related documents have been filed with SEDAR and are available at www.sedar.com. Pursuant to lock-up agreements entered into on February 9, 2007, among CAE and certain of the Shareholders, 69.8% of the Shares have already been committed to the Offer. The Offer will be open for acceptance until 5:00 p.m. (Montreal time) on March 30, 2007, unless the Offer is extended or withdrawn by CAE.