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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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RULE 13E-3
TRANSACTION STATEMENT
(Pursuant to
Section 13(e) of the Securities Exchange Act of 1934)
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TGX CORPORATION
(Name of the Issuer)
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TGX CORPORATION
(Name of Person(s) Filing Statement)
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COMMON STOCK, $.01 PAR VALUE 8724244106
SERIES A SENIOR PREFERRED STOCK, $1 PAR VALUE 87242405000
(Title of Class of Securities) (Cusip Number of
Class of Securities)
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LARRY H. CARPENTER
CHAIRMAN OF THE BOARD
PRESIDENT AND CHIEF EXECUTIVE OFFICER
222 PENNBRIGHT, SUITE 200
HOUSTON, TEXAS 77090
(713) 872-0500
(Name, address and telephone number of person
authorized to receive notices and communications
on behalf of Person(s) Filing Statement)
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COPIES TO:
ARTHUR S. BERNER, ESQ.
WINSTEAD SECHREST & MINICK P.C.
910 TRAVIS, SUITE 1700
HOUSTON, TEXAS 77002
(713) 650-2729
This statement is filed in connection with (check the appropriate box):
a. [X] The filing of solicitation materials or an information statement
subject to Regulation 14A [17 CFR 240.14a-1 to 240.14b-1], Regulation
14C [17 CFR 240.14c-1 to 240.14c-101] or Rule 13e-3(c) [(S) 240.13e-
3(c)] under the Securities Exchange Act of 1934.
b. [X] The filing of a registration statement under the Securities Act
of 1933.
c. [ ] A tender offer.
d. [ ] None of the above.
Check the following box if the soliciting materials or information statement
referred to in checking box (a) are preliminary copies: [X]
CALCULATION OF FILING FEE
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TRANSACTION VALUATION* AMOUNT OF FILING FEE
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$9,430,816 $1,886.16
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*The transaction valuation was calculated on the basis of the book value of
the securities to be received by GeoStrat Resources, Inc. or canceled in
connection with the merger of TGX Corporation into GeoStrat Resources, Inc.
[X] Check box if any part of the fee is offset as provided by Rule 0-11 (a)(2)
and identify the filing with which the offsetting fee was previously paid.
Identify the previous filing by registration statement number, or the Form
or Schedule and the date of its filing.
Amount Previously Paid: $1,886.16
Form or Registration No.: Schedule 14A Preliminary Proxy Statement
Date Filed: July 9, 1996
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TGX CORPORATION
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SCHEDULE 13E-3
CROSS-REFERENCE SHEET
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The information contained in the Schedule 14A Preliminary Proxy Statement (the
"Proxy Statement/Prospectus") filed by TGX Corporation with the Securities and
Exchange Commission is hereby expressly incorporated by reference in this
Schedule 13E-3. The following cross-reference sheet is supplied pursuant to
General Instruction F to Schedule 13E-3 and shows the location in the Proxy
Statement/Prospectus of the information required to be included in response to
the Items of this Schedule 13E-3 in connection with the Rule 13e-3 transaction.
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LOCATION AND CAPTION
ITEM IN SCHEDULE 13E-3 IN PROXY STATEMENT/PROSPECTUS
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ITEM 1 - ISSUER AND CLASS OF SECURITY SUBJECT
TO THE TRANSACTION
(a)......................................... Outside Front Cover Page of Proxy Statement/Prospectus
(b)......................................... Outside Front Cover Page of Proxy Statement/Prospectus;
Market Price Information
(c), (d).................................... Market Price Information
(e)......................................... *
(f)......................................... *
ITEM 2 - IDENTITY AND BACKGROUND The person filing this statement is TGX Corporation (the
"Issuer"), the issuer of the common stock and the Series A
Senior Preferred Stock which are the subject of this
transaction.
(a) - (d), (g).............................. Proposals 2 and (a)--Election of Directors; Executive
Officers
(e), (f).................................... To the best of the knowledge of the undersigned, none of
the persons with respect to whom information is provided
in response to this Item was during the last five years
(i) convicted in a criminal proceeding (excluding traffic
violations or similar misdemeanors) or (ii) a party to a civil
proceeding of a judicial or administrative body of
competent jurisdiction and as a result of such proceeding
was or is subject to a judgment, decree or final order
enjoining further violations of, or prohibiting activities
subject to, federal or state securities laws or finding any
violation of such laws.
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* The item is inapplicable or the answer is negative.
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LOCATION AND CAPTION
ITEM IN SCHEDULE 13E-3 IN PROXY STATEMENT/PROSPECTUS
- ------------------------------------------------ ---------------------------------------------------------------
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ITEM 3 - PAST CONTACTS, TRANSACTIONS OR
NEGOTIATIONS
(a)........................................... *
(b)........................................... *
ITEM 4 - TERMS OF THE TRANSACTION
(a)........................................... Proposal 1 -- The Merger -- The Merger Agreement;
-- Conditions to Merger; -- Exchange of Certificates;
Appendix "A" to Proxy Statement/Prospectus: Agreement
of Merger
(b)........................................... Proposal 1 -- The Merger -- Interests of Certain Persons in
the Merger
Item 5 - Plans or Proposals of the Issuer or
Affiliate
(a) - (g)..................................... *
ITEM 6 - SOURCE AND AMOUNTS OF FUNDS OR
OTHER CONTRIBUTIONS
(a)........................................... *
(b)........................................... The Meetings
(c)........................................... *
(d)........................................... *
ITEM 7 - PURPOSE(S), ALTERNATIVES, REASONS AND
EFFECTS
(a) - (c)...................................... Summary -- Reasons for Merger; Proposal 1 -- The Merger
-- Background and Reasons for the Merger
(d)............................................ Proposal 1 -- The Merger -- Background and Reasons for
the Merger; -- Certain Federal Income Tax Considerations;
-- Accounting Treatment; -- Appraisal Rights
ITEM 8 - FAIRNESS OF THE TRANSACTION
(a), (b)...................................... Summary -- Recommendation of Board; -- Opinion of
Appraisal and Valuation Firm; Proposal 1 -- The Merger
-- Background and Reasons for the Merger;
-- Recommendation of Board; -- Opinion of Valuation and
Appraisal Firm
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* The item is inapplicable or the answer is negative.
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LOCATION AND CAPTION
ITEM IN SCHEDULE 13E-3 IN PROXY STATEMENT/PROSPECTUS
- ------------------------------------------------ ---------------------------------------------------------------
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(c)........................................... The Meetings -- Vote Required. The transaction has not
been structured to require the approval of at least a
majority of unaffiliated security holders.
(d)........................................... No representative was retained by the Issuer to act solely
on behalf of unaffiliated security holders.
(e)........................................... Summary -- Recommendation of Board; Proposal 1 -- The
Merger -- Recommendation of Board
(f)........................................... *
ITEM 9 - REPORTS, OPINIONS, APPRAISALS AND
CERTAIN NEGOTIATIONS
(a), (b)...................................... Proposal 1 -- The Merger -- Opinion of Appraisal and
Valuation Firm; Appendix "D" to Proxy
Statement/Prospectus: Opinion of American Appraisal
Associates, Inc.
(c)........................................... The opinion of American Appraisal Associates, Inc. has
been provided to the Issuer's security holders as Appendix
"D" of the Proxy Statement/Prospectus. In addition, such
opinion will be made available for inspection and copying
at the principal executive offices of the Issuer at
222 Pennbright, Suite 200, Houston, Texas 77090 by any
interested security holder or representative of such security
holder designated in writing.
ITEM 10 - INTEREST IN SECURITIES OF THE ISSUER
(a)........................................... Summary -- Vote Required; -- Recommendation of Board;
The Meetings -- Record Date; Stockholders Entitled to
Vote; -- Quorum; Vote Required; Certain Stock Owned by
Principal Stockholders and Management
(b)........................................... *
ITEM 11 - CONTRACTS, ARRANGEMENTS OR
UNDERSTANDINGS WITH RESPECT TO THE ISSUER'S *
SECURITIES.....................................
ITEM 12 - PRESENT INTENTION AND
RECOMMENDATION OF CERTAIN PERSONS WITH
REGARD TO THE TRANSACTION
(a), (b)...................................... The Meetings -- Quorum; Vote Required; Proposal 1 -- The
Merger -- Background and Reasons for the Merger;
-- Recommendation of Board; -- Interests of Certain
Persons in the Merger
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* The item is inapplicable or the answer is negative.
3
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LOCATION AND CAPTION
ITEM IN SCHEDULE 13E-3 IN PROXY STATEMENT/PROSPECTUS
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ITEM 13 - OTHER PROVISIONS OF THE TRANSACTION
(a)........................................... Summary -- Appraisal Rights; Proposal 1 -- The Merger
-- Appraisal Rights; Appendix "E" to Proxy
Statement/Prospectus: Section 262 of Delaware General
Corporation Law
(b)........................................... *
(c)........................................... *
ITEM 14 - FINANCIAL INFORMATION
(a)........................................... Summary -- Summary Financial Data; Financial Statements
(b)........................................... Financial Statements -- Unaudited Pro Forma Summary
Condensed Combined Financial Information
ITEM 15 - PERSONS AND ASSETS EMPLOYED,
RETAINED OR UTILIZED
(a), (b)...................................... Summary -- Opinion of Appraisal and Valuation Firm; The
Meetings -- Solicitation, Voting and Revocability of
Proxies; Date and Place of Meetings; Proposal 1 -- The
Merger -- Opinion of Appraisal and Valuation Firm
ITEM 16 - ADDITIONAL INFORMATION................ See text of the Proxy Statement/Prospectus
ITEM 17 - MATERIAL TO BE FILED AS EXHIBITS
(a)........................................... *
(b)........................................... Exhibit (b): Opinion of American Appraisal Associates,
Inc. (incorporated by reference to Appendix "D" to the
Proxy Statement/Prospectus)
(c)........................................... *
(d)........................................... Exhibit (d): Letter to Stockholders; Notice of Special
Meetings of Stockholders; Proxy Statement/Prospectus;
Form of Proxy for Special Meetings of Stockholders
(incorporated by reference to TGX Corporation
Schedule 14A Preliminary Proxy Statement filed with the
Commission on July 9, 1996)
(e)........................................... Exhibit (e): Section 262 of Delaware General Corporation
Law (incorporated by reference to Appendix "E" to the
Proxy Statement/Prospectus)
(f)........................................... *
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* The item is inapplicable or the answer is negative.
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SIGNATURE
After due inquiry and to the best of my knowledge and belief. I certify that
the information set forth in this statement is true, complete and correct.
Dated: July 31, 1996 /s/ Larry H. Carpenter
__________________________________________
Larry H. Carpenter
Chairman of the Board, President and
Chief Executive Officer
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