RE:RE:RE: New SharesNR dated November 17, 2016
Here is the portion of that NR which discusses the Consolidation/ Deconsolidation.....it was done from what I understand to clean up odd lots and make things neat and tidy...more manageable. As you can see the Consolidation was Dec. 31st and Deconsolidation Jan 1, 2017. As the NR states-----Implementation of the Consolidation and Deconsolidation will not materially affect the percentage ownership of the shareholders
Elimination of Odd Lots
Additionally, the Company is pleased to announce that it will consolidate (reverse split) its issued and outstanding common shares (the "Shares") at a ratio of five hundred (500) pre-consolidation common shares to one (1) post-consolidation common share (the "Consolidation"), followed by an immediate deconsolidation (split) of common shares at the ratio of one (1) pre-deconsolidation common share to five hundred (500) post-deconsolidation common shares (the "Deconsolidation"), subject to the approval of the TSX Venture Exchange and the Company's shareholders (the "Shareholders"). If approved, the Consolidation is scheduled to take place on Wednesday, December 31, 2016 and the Deconsolidation will follow on Thursday, January 1, 2017. The Company also advises that it will send materials to security holders of record as of November 1, 2016 relating to this year's annual and special meeting which is to be held on December 14, 2016.
As at the date hereof, there are an aggregate of 102,706,144 pre-consolidation Shares issued and outstanding. Implementation of the Consolidation and Deconsolidation will not materially affect the percentage ownership of the Shareholders and the Consolidation and Deconsolidation will merely proportionally reduce the number of Shares held by the Shareholders.
In the event the implementation of the Consolidation would otherwise result in the issuance of a fractional Share, no fractional Share will be issued and such fraction will be rounded up or down to the nearest whole number. In addition, the number of Shares issuable upon the exercise of any outstanding incentive stock options of the Company will be proportionally adjusted upon the implementation of the Consolidation and Deconsolidation. Notwithstanding approval by the Shareholders, the board of directors of the Company may, in its sole discretion, revoke the special resolution approving the Consolidation and Deconsolidation at any time prior to its implementation.
It is management's view that the Consolidation and Deconsolidation is in the best interests of the Shareholders, as the Company spends a significant amount of money each year printing and mailing materials to these Shareholders and servicing their accounts through the Company's register and transfer agent. However, the Company lacks the current mailing addresses for many of these Shareholders and for the remainder, the Company believes that most will welcome the opportunity to realize the value of their Common Shares without being required to pay a brokerage fee, which makes disposing of their Common Shares prohibitive. The Company will not be changing its name or its trading symbol in conjunction with the Consolidation and Deconsolidation.