Citation Resources (TSX:V.CTT, Stock Forum), a Vancouver-based mining firm engaged in the exploration and development of precious and base metal resources, and Inlet Resources (TSX:V.INL, Stock Forum) signed a definitive agreement today in respect to their planned business combination.
According to the news release, the transaction will combine the assets of both companies on a consolidated basis, with Citation becoming a wholly-owned subsidiary of Inlet.
The deal entitles each Citation shareholder to 0.5 of a common share of Inlet for every one common share of Citation held by Citation shareholders pursuant to a plan of arrangement under the Business Corporations Act (British Columbia).
The arrangement is still subject to approval by the Supreme Court of British Columbia and all related regulatory authorities.