UMJ, NKL to merge Here's the basic part of the NR. More detail is inlcuded in the release.
Mr. Richard Sutcliffe of Ursa Major reports
URSA MAJOR MINERALS AND PROPHECY PLATINUM SIGN BUSINESS COMBINATION AGREEMENT
Ursa Major Minerals Inc. and Prophecy Platinum Corp. have entered into a binding letter of agreement for a business combination through a proposed all-share transaction. Prophecy and Ursa act at arm's length and the Transaction has been negotiated at arm's length.
Financial Terms of the Transaction
Pursuant to the Agreement, Prophecy will issue 1 common share in exchange for every 25 outstanding common shares of Ursa. Ursa options and warrants will be exchanged for options and warrants of Prophecy as discussed under the "Further Detail" Section.
The offer represents approximately
.15 per each common share of Ursa based on Prophecy's share price of $3.70 as at March 1, 2012, representing a premium of 130% to Ursa's closing price as at March 1, 2012 of
.065.
Prophecy is to subscribe for $1 million common shares of Ursa by way of private placement financing at
.06 per share, subject to regulatory approval. Upon placement completion, John Lee and Greg Hall, current Prophecy directors, will be appointed to Ursa's board.