Business
Atacama Copper to Combine with TCP1 to Create a Diversified Exploration and Development Company in Latin America
Vancouver, British Columbia--(Newsfile Corp. - October 26, 2023) - Atacama Copper Corporation (TS...
About this update from Fuerte Metals Corporation
[{"type":"text","content":"Atacama Copper to Combine with TCP1 to Create a Diversified Exploration and Development Company in Latin AmericaVancouver, British Columbia--(Newsfile Corp. - October 26, 2023) - Atacama Copper Corporation (TSXV: ACOP) (\"Atacama Copper\" or the \"Company\") announces that it has signed a binding letter of intent dated October 26, 2023 (the \"Letter of Intent\") with TCP1 Corporation (\"TCP1\"), an arm's length private company with mineral properties located in Mexico, relating to a business combination whereby the Company will acquire all of the issued and outstanding shares of TCP1 in exchange for common shares of the Company (the \"Proposed Transaction\"). Concurrent with the Proposed Transaction, the Company has entered into an agreement with Cormark Securities Inc. and Stifel Canada as co-lead agents (collectively, the \"Agents\") for a private placement of subscription receipts (the \"Subscription Receipts\") at a price of C$0.18 per Subscription Receipt for minimum net proceeds of $10,000,000 (the \"Concurrent Financing\"), each of which will automatically convert into a common share in the capital of the Company, in connection with the consummation of the Proposed Transaction. Completion of the Proposed Transaction and the Concurrent Financing are subject to the execution of definitive agreements, obtaining all necessary regulatory and shareholder approvals and satisfaction of customary closing conditions. The Proposed Transaction is expected to constitute a \"reverse takeover\" of Atacama Copper pursuant to the policies of the TSX Venture Exchange (\"TSXV\") and is subject to the acceptance of TSXV. The Company following the completion of the Proposed Transaction is referred to herein as the \"Resulting Issuer\" or \"Newco\".Highlights of the Transaction:Creates a diversified exploration and development company with assets in close proximity to established operations in geologically prospective regions of Mexico and Chile.Resulting Issuer will be led by a team with a proven history and track record of discovery, exploration success, mine building, operations, and community engagement and relations.Establishes a well-capitalized company supported by a strong shareholder base.Provides multiple avenues of shareholder value creation as the combined asset base is advanced through focused and generative exploration programs t...