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Fuse Battery Metals Announces Its Plan to Spin-out and List its Subsidiary on the TSX Venture Exchange
COQUITLAM, BC / ACCESSWIRE / October 24, 2023 / Fuse Battery Metals Inc. (the "Company" or "Fuse...
About this update from Fuse Battery Metals Inc
[{"type":"text","content":"Fuse Battery Metals Announces Its Plan to Spin-out and List its Subsidiary on the TSX Venture ExchangeCOQUITLAM, BC / ACCESSWIRE / October 24, 2023 / Fuse Battery Metals Inc. (the \"Company\" or \"Fuse Battery\") (TSXV:FUSE)(OTCQB:FUSEF)(FRA:43W3) is pleased to announce that the Company has entered into an Arrangement Agreement with its wholly owned subsidiary Ignition Battery Metals Inc. (\"SpinCo\"). In accordance with the terms of the Arrangement Agreement, Fuse will transfer to SpinCo ownership of its interests in its Teledyne and Glencore Bucke cobalt properties in Ontario, (collectively, the \"Transferred Assets\") in exchange for approximately 9,397,440 common shares of SpinCo (the \"Consideration Shares\"). Fuse will spin out the Consideration Shares (the \"Spin-Out Shares\") to Fuse shareholders. The Teledyne Cobalt Property located in Bucke and Lorrain Townships, consists of 5 patented mining claims totaling 79.1 ha, and 46 unpatented mining claim cells totaling approximately 700 ha. The Glencore Bucke Property consists of two patented mining claims totaling approximately 16.2 ha in area located on the west boundary of Fuse's Teledyne Cobalt ProjectIt is proposed that the transaction will be carried out by way of statutory plan of arrangement (the \"Spin-Out\") pursuant to the Business Corporations Act (British Columbia). Under the terms of the Spin-Out, shareholders of Fuse would exchange their existing common shares of Fuse for the same number of new common shares of Fuse (having the identical terms of the existing Fuse common shares) and Spin-Out Shares of SpinCo. There will be no change in shareholders' holdings in Fuse as a result of the Spin-Out. It is anticipated that each Fuse shareholder will receive 1/20 of a Spin-Out Share for each Fuse common share held as at the record date for the arrangement. Fuse will continue to hold its interest in its North American Lithium Properties.The Spin-Out Transaction requires the approval of the Fuse shareholders and approval of the British Columbia Supreme Court in order to proceed. Full details on the Spin-Out Transaction will be contained in the Management Information Circular to be prepared for the Fuse shareholder meeting. Fuse shareholders are urged to read the Management Information Circular carefully and in its entirety.The intention is to seek a listing of the SpinC...