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Ascot Resources to Launch C$0.01 Per Share Rights Offering and 50:1 Share Consolidation; Enters into Advisory Agreement with Fiore and Support of Major Shareholders and Creditors
Agreement with Fiore Management and Advisory Corp. for Restructuring and Recapitalization Advisory Services Rights Offering at C$0.01 per Share, 50:1 Share Cons
About this update from Cambria Gold Mines Inc.
[{"type":"text","content":" Agreement with Fiore Management and Advisory Corp. for Restructuring and Recapitalization Advisory Services Rights Offering at C$0.01 per Share, 50:1 Share Consolidation and Best Efforts Private Placement of up to C$150 Million VANCOUVER, British Columbia, Oct. 23, 2025 (GLOBE NEWSWIRE) -- Ascot Resources Ltd. (TSXV: AOT.H; OTCQB: AOTVF) (“Ascot” or the “Company”) announces it has entered into an advisory services agreement with Fiore Management and Advisory Corp. (“Fiore”) pursuant to which Fiore has agreed to assist Ascot with restructuring, refinancing and enhancing the leadership team of Ascot (the “Restructuring”) with a focus on the Red Mountain Deposit and a view to eventually restarting production at Ascot’s Premier Gold Project (the “Project”) . Key Terms of the Restructuring The Restructuring will primarily consist of a non-brokered offering of rights (“Rights”) to raise approximately C$14.9 million fully backstopped by Fiore (the “Rights Offering”). Pursuant to the Rights Offering, all eligible registered shareholders of Ascot will receive one Right for every common share of Ascot held as of a record date to be specified entitling the holder of such Right to acquire a new common share of Ascot for C$0.01 per share. Subsequent to the closing of the Rights Offering, the Company will complete a 50:1 share consolidation (the “50:1 Share Consolidation”). Fiore has further agreed to use its best efforts to facilitate and assist with an equity financing of C$150 million to be priced in the context of the market and taking into consideration the C$0.01 per share (the “Rights Offering Price”) Rights Offering. In principle, the Restructuring has the support of the majority of the Company’s shareholders and creditors. Fiore and Ascot are in advanced negotiations with Nebari Gold Fund 1, LP, Nebari Natural Resources Credit Fund II, LP and Nebari Collateral Agent LLC (collectively, “Nebari”), one of the Company’s senior lenders, to complete a bridge financing available in multiple drawdowns to a maximum of US$18 million, subject to the satisfaction of certain conditions precedent for each drawdown, with Nebari receiving common share purchase warrants with an exercise price equal to the share price of the private placement. This loan is anticipated to be in place by the end of the month. All of the foregoing financings are subject...