Business
Aurwest Resources Announces Approval of Plan of Arrangement and Spin Outs
Calgary, Alberta--(Newsfile Corp. - September 9, 2022) - Aurwest Resources Corporation (CSE: AWR) ("Aurwest" or the "Company") is pleased to announce that it ha
About this update from Aurwest Resources Corp.
[{"type":"text","content":" Calgary, Alberta--(Newsfile Corp. - September 9, 2022) - Aurwest Resources Corporation (CSE: AWR) (\"Aurwest\" or the \"Company\") is pleased to announce that it has received the requisite approvals for its previously announced Plan of Arrangement (\"Plan of Arrangement\"). The Plan of Arrangement will see the Company spin out its Stellar Stars mining property into a separate publicly listed company (\"Stellar Stars SpinCo\"), subject to completion of the Stellar Stars Financing (as defined below), and have five (5) newly formed reporting issuer entities which will be used for the purposes of evaluating future go public business opportunities (the \"SpinCos\"). Aurwest shareholders will receive shares in the Stellar Stars SpinCo and SpinCo's as more fully described below. The Stellar Stars property is prospective for mineral deposits (primarily copper and gold deposits) consisting of two parcels of adjoining land in British Columbia comprising a 100% interest in the 25,053 hectare, Stellar property, and the 3,761 hectare, Stars property (collectively, the \"Stellar Stars Property\"). Following completion of the Plan of Arrangement, Aurwest will continue to carry on its primary business activities with a focus on its properties in Central Newfoundland, Canada whereby Aurwest holds options to acquire properties consisting of 57,600 hectares (100% interest) in this area. Required Approvals The Company received the requisite shareholder approval for the Plan of Arrangement, among other things, at the annual general and special meeting of shareholders of the Company which was held on August 29, 2022, and received the Final Order from the British Columbia Supreme Court on September 8, 2022, approving the Plan of Arrangement. Stellar Stars SpinCo Financing Pursuant to the Plan of Arrangement, as a condition to the distribution of the shares of Stellar Stars SpinCo to the Aurwest shareholders, Stellar Stars SpinCo intends to undertake a private placement financing of a minimum of $1,000,000. This financing is currently proposed to consist of the issuance of 13,333,333 units at a price of $0.075 per unit, with each unit consisting of one Stellar Star SpinCo Share and one share purchase warrant entitling the holder to purchase one Stellar Star SpinCo Share at a price of $0.10 for a period of 2 years from the date of issuance (the \"...