Business
Montan Capital Corp. and Strait Minerals Inc. sign amalgamation agreement to create Peru-focused exploration and mining company
VANCOUVER , Jan. 6, 2015 /CNW/ - Montan Capital Corp. (TSXv: MO.P) (" Montan ") and ...
About this update from Fidelity Minerals Corp.
[{"type":"text","content":"\n\nVANCOUVER, Jan. 6, 2015 /CNW/ - Montan Capital Corp. (TSXv: MO.P) (\"Montan\") and Strait Minerals Inc. (TSXv: SRD) (\"Strait\") are pleased to announce that further to the joint news release of December 3, 2014, Montan, Strait, and 1023174 B.C. LTD. (\"Newco\"), a newly incorporated subsidiary of Strait, have entered into an amalgamation agreement dated January 6, 2015 (the \"Amalgamation Agreement\"), in respect of the proposed qualifying transaction for Montan and reverse take-over of Strait (the \"Transaction\").\n\nThe resulting company will be named \"Montan Mining Corp.\" and be a new, strong Peru-focused exploration and mine development company. The company will be led by a combined management team, with a track record of success in project and mine development in Peru as well as other jurisdictions, and a local Peruvian shareholder support base and capital markets team. The company anticipates it will advance the Alicia Project for its high-grade copper potential and provide a platform to build from and to seek further opportunities in the Peruvian mining sector presented by the current malaise in the mining and resource market.\n\nTerms of the Agreement\n\nUpon the closing of the Transaction (the \"Closing\"), and at the effective time of the amalgamation, Newco and Montan will amalgamate to form a single subsidiary of Strait and Strait will acquire all of the issued and outstanding securities of Montan from the shareholders of Montan in exchange for the issuance of 8,000,000 post-Consolidation (as defined below) Strait common shares (the \"Consideration Shares\") at the rate of one Strait common share for each one Montan common share. In connection with the Transaction, Strait shall, prior to issuing the Consideration Shares, complete a consolidation of its common shares on a 10:1 basis (the \"Consolidation\") reducing its capital to 6,203,249 post-Consolidation common shares and change its name to \"Montan Mining Corp.\" (the \"Change of Name\").  The Consideration Shares are anticipated to represent approximately 56% of the total issued and outstanding Strait common shares as of the Closing.\n\nThe Agreement provides that the Closing is subject to several conditions including, among other things:\n\n\n\n\n   (a)             ...