RE:share structuredamocavis wrote: Does anybody know the share/ratio after the merger for Gold Mountain?
From paragraph 1 from the first page of the Joint Management Information Circular dated August 26, 2016. It reads:
On August 14, 2016, Lowell Copper Ltd. (“
Lowell”), Gold Mountain Mining Corporation (“
Gold Mountain”) and Anthem United Inc. (“
Anthem”) announced that the companies had entered into an arrangement agreement (the “
Arrangement Agreement”), pursuant to which, and subject to the terms and conditions of which, Lowell will acquire all of the issued and outstanding common shares of each of Gold Mountain and Anthem pursuant to an arrangement of Gold Mountain and Anthem under the Business Corporations Act (British Columbia) (the “Arrangement”).
Assuming the Arrangement becomes effective, each shareholder of Gold Mountain will be entitled to receive, 1.032 Lowell Shares for each Gold Mountain Share held and each shareholder of Anthem will be entitled to receive 0.774 Lowell Shares for each Anthem Share held.
Management and the directors of the three companies are pursuing this transaction because we believe that the combined company will benefit from the potential for near term operating cash flow as well as long term exposure to geographically diversified gold and copper development opportunities. Further, the combined company will enjoy an increase in scale that we believe will result in increased access to capital, enhanced capital markets profile and increased liquidity for shareholders.
Concurrent with the Arrangement, the Parties will be seeking financing of the combined company by way of a private placement of Shares and Warrants (the “
Private Placement”)
as well as a consolidation of the shares of Lowell, all of which we believe will put the combined company in a position where it has the best chance to succeed.
Accompanying this letter is a notice from Gold Mountain calling an annual and special meeting of Gold Mountain shareholders, as well as a notice from Anthem calling a special meeting of Anthem shareholders, to consider, among other resolutions, the resolutions required to approve the Arrangement. Lowell is also giving notice of an annual and special meeting of Lowell shareholders to consider resolutions to approve the consolidation of the shares of Lowell and the issuance of Lowell common shares required to complete the Arrangement and the Private Placement.