Business
Montan Mining and Lions Bay Announce Restructuring of Montan
(via TheNewswire) Vancouver, BC / TheNewswire / February 21st, 2018 - Montan Mining...
About this update from Fidelity Minerals Corp.
[{"type":"text","content":"Montan Mining and Lions Bay Announce Restructuring of Montan(via TheNewswire)\n\n \nVancouver, BC / TheNewswire / February 21st, 2018 - Montan Mining Corp. (TSX-V: MNY | FSE: S5GM | SSE: MNYC) (\"Montan\" or the \"Company\") and Lions Bay Capital Inc. (TSX-V: LBI) (\"Lions Bay\") are pleased to announce that Lions Bay will be leading a restructuring of Montan. The restructuring will provide for:\n\n\n \n\n\n- loans from Lions Bay to Montan in the aggregate amount of CAD $185,000; \n\n\n\n- the purchase by Lions Bay of certain debts of Montan through the issuance of common shares of Lions Bay in the aggregate amount of CAD $1.03 million, which amounts will subsequently be settled by the issuance of common shares of Montan to Lions Bay; and\n\n\n\n- the consolidation of the outstanding common shares of the Company on the basis of one common share for three existing common shares. \n\n\n\n \n \nThe restructuring is expected to result in Lions Bay becoming a control person of Montan, for which shareholder approval of Montan will be required. The transactions described above and the creation of Lions Bay as a control person of Montan are subject to obtaining approval of the TSX Venture Exchange.\n\n \n \nThe proceeds of the loans described above will be used by Montan for general working capital purposes. As part of the restructuring, the Company will also be consolidating its outstanding common shares on the basis of one common share for three existing common shares, as approved by shareholders of Montan at its annual general meeting held on June 28, 2017. \n\n \n \nFollowing completion of the restructuring, Montan will retain its Cerro Dorado mine and mill assets in Peru. Given its intent to proceed with commissioning of the Cerro Dorado mill complex, the Company expects to require a significant amount of additional funding to cover its remaining debts, startup costs and to provide for working capital at the plant. This additional funding will likely be provided by way of private placement at a discount to the then current market price of the common shares of Montan. \n\n\n \n\n\n\n \nAbout Lions Bay Capital Inc.\n\n \n \nLions Bay Capital Inc. is a New Mining and Energy Finance House focussed on making profits and paying dividends. This growth focussed resource investment bank operates as an activist investor in the junior natural...