Business
ISS and Glass Lewis Recommend Shareholders of Excellon Resources and Otis Gold Vote for the Arrangement
TORONTO, March 30, 2020 /CNW/ - Excellon Resources Inc. (TSX: EXN, EXN.WT, OTC: EXLLF and FRA: E4X1) ("Excellon") and Otis Gold Corp. (TSX-V: OOO, OTC: OGLDF, F
About this update from Excellon Resources Inc.
[{"type":"text","content":" TORONTO, March 30, 2020 /CNW/ - Excellon Resources Inc. (TSX: EXN, EXN.WT, OTC: EXLLF and FRA: E4X1) (\"Excellon\") and Otis Gold Corp. (TSX-V: OOO, OTC: OGLDF, FRA: 4OG) (\"Otis\") are pleased to announce that the two leading independent proxy advisory firms, Institutional Shareholder Services Inc. (\"ISS\") and Glass Lewis & Co. (\"Glass Lewis\"), have each recommended that shareholders approve the proposed acquisition by Excellon of all of the issued and outstanding shares of Otis by way of a statutory plan of arrangement (the \"Arrangement\"). Both ISS and Glass Lewis are independent, third party, proxy advisory firms who, among other services, provide proxy voting recommendations to pension funds, investment managers, mutual funds and other institutional shareholders. Recommendation to Excellon Shareholders Share Issuance Resolution: ISS and Glass Lewis have each recommended that shareholders of Excellon vote FOR the ordinary resolution authorizing the aggregate number of Excellon shares issuable under the Arrangement to former shareholders, optionholders and warrantholders of Otis, stating that \"the transaction makes strategic sense as the combined entity will have a more diversified portfolio of assets, consisting of Excellon's high-grade Platosa silver mine and Otis' high return and low risk Kilgore gold development project. In addition to having more diversification across metals types, geographies, project type, and project stage, the combined entity is expected to be well financed with US$10 million in cash and available funds to deploy\". Consolidation Resolution: ISS and Glass Lewis have each also recommended that shareholders of Excellon vote FOR a special resolution approving the consolidation of all of the issued and outstanding Excellon shares at an exchange ratio of one post-consolidation Excellon share for each five-to-ten pre-consolidation Excellon shares. Glass Lewis noted: \"We agree with the board that it is in the best interest of the Company to reduce the number of shares outstanding and thereby attempt to proportionally raise the per share price of the Company's ordinary shares\". Excellon is currently working towards a potential listing on the NYSE American following the completion of the Arrangement and would be required to consolidate its issued and outstanding common shares...