I sent Sarah this message today:

"Sarah,

The proposed Reorganization Resolution detailed in the Zenith Annual and Special circular has generated A LOT of confusion amongst myself and other shareholders. As you are probably aware, a new investor hub has been started on Agoracom for Zenith (http://agoracom.com/ir/ZenithEpigenetics) and the discussion is dominated by us shareholders trying to interpret what Zenith is trying to do.

Why value the Zenith "Transferred Assets" for only $34.4 M? Why issue only 34.4M shares? Is this a 1:3 reverse split? Why value each of the 34.4M shares at $1/share? Is this for the purpose of setting up for an IPO? Will current holders of Zenith Epigenetics Corp receive any shares of Zenith Epigenetics Ltd?"

Her response:

"Here is the company response:

This is only an internal reorganization that transfers technology assets into a wholly-owned subsidiary (owned entirely by Zenith Epigenetics Corp. and Zenith is simply changing its name to “Zenith Capital Corp.”) The reorganization is not a split and is not being done specifically in preparation for an IPO. Current shareholders’ shareholdings will not change (other than the name of the company, as mentioned). Please keep in mind also that the $34.4 million only reflects certain, not all, of Zenith’s assets and is net of certain liabilities and, therefore, is not really comparable to the $1 per share."

It doesn't exactly provide much clarity to the issues of 34.4M shares, $34.4M dollars, $1 per share, or the individual valuation of the RPSs or Technology Assets.

BearDownAZ