American Lithium Acquisition Target, Plateau Energy Metals, Receives Shareholder Support for Merger – Land Package Expanded at TLC
2021-05-03 16:58 ET - News Release
VANCOUVER, British Columbia, May 03, 2021 (GLOBE NEWSWIRE) -- American Lithium Corp. (TSXV: LI) (OTCQB: LIACF) (Frankfurt: 5LA1) (“American Lithium” or the “Company”), a leader in the acquisition, exploration and development of lithium projects, is pleased to announce that Plateau Energy Metals (“Plateau”) received overwhelming shareholder support for its business combination with American Lithium at the Special Meeting of its stakeholders held earlier today.
Highlights:
- Plateau shareholder and option holder vote was conducted by Special Resolution earlier today with overwhelming support (99.8%) for the Plan of Arrangement;
- Closing of Plan of Arrangement is subject to final approval of the Ontario Superior Court of Justice and the TSX Venture Exchange, and other customary closing conditions;
- Closing is anticipated to occur on or about Tuesday May 11, 2021;
- On Close, American Lithium will acquire all issued and outstanding common shares of Plateau on the basis of 0.29 units of American Lithium for each Plateau share held;
- Each whole unit comprises one common share in American Lithium and one-half of a common share purchase warrant in American Lithium;
- Transaction positions American Lithium as a leading, diversified, consolidator of lithium development assets in the Americas;
Simon Clarke, CEO and Director of American Lithium stated, “we are very pleased that stockholders of Plateau have voted overwhelmingly in favour of this transaction. We continue to believe that synergies between the two companies, in respect of both teams and projects, are substantial and that this acquisition will position American Lithium as a diversified leader in the development of large-scale lithium and clean energy projects.”
Additional Property Acquisition
American Lithium also announces that it has reached an agreement to acquire a 100% interest in a series of mining claims totalling 2,260 acres contiguous and to the west of the existing TLC project. The claims are not subject to any royalties or encumbrances. This acquisition provides the Company with significant additional prospective acreage at TLC and improves access to the west side of the project. Further, this addition protects the Company’s existing claims in areas where exploration results to date have been very promising.
The acquisition is being accomplished through the purchase of the share capital of an arm’s-length British Columbia corporation (“AcquisitionCo”) which controls all rights to the claims. Pursuant to the agreement, the Company has agreed to issue 4,000,000 common shares to the existing shareholder of AcquisitionCo. No finders’ fees or commissions are payable in connection with the acquisition and the acquisition remains subject to the approval of the TSX Venture Exchange.
Simon Clarke, CEO and Director of American Lithium stated, “we are pleased to be able to add this strategic acreage to the TLC Project at a time when we await approval of our Plan of Operations filed with the Bureau of Land Management in January. That Plan of operations will enable us to conduct significantly more drilling and additional exploration across the Project, including at this new package of claims, as we look to refine, expand and high grade our large-scale resource and to collect bulk samples across the project as we conduct work to finalize our process engineering.”