G2 Goldfields and S2 Minerals Announce Closing of Spin-Out of Sandy Lake Project

About this update from G2 Goldfields, Inc.

[{"type":"text","content":" TORONTO, April 09, 2021 (GLOBE NEWSWIRE) -- G2 Goldfields Inc. (“G2” or the “Company”) (TSXV:GTWO; OTCQX:GUYGF) and S2 Minerals Inc. (“S2”) are pleased to announce that the previously announced spin-out of the Company’s Sandy Lake project into a wholly-owned subsidiary of the Company, S2, by a Plan of Arrangement under the Canada Business Corporations Act (the “Arrangement”) has been completed. The Arrangement was effective at 12:01 a.m. (Toronto time) on April 9, 2021 (the “Effective Date”). Pursuant to the Arrangement, G2 will distribute 100% of the common shares of S2 (the “S2 Shares”) it received under the Arrangement to holders (the “G2 Shareholders”) of common shares of G2 (the “G2 Shares”) on a pro rata basis, such that G2 Shareholders will receive one S2 Share for every ten G2 Shares held as of the Effective Date. S2 will also issue rights (“S2 Rights”) to the holders of the S2 Shares as of the Effective Date to raise gross proceeds of approximately C$1.2 million (the “Rights Offering”). The S2 Rights will expire at 5:00 p.m. (Toronto time) on May 12, 2021. As previously announced by G2, the G2 Shares commenced trading on a “due bill” basis on the TSX Venture Exchange (the “TSXV”) effective from the opening of markets on April 7, 2021 and will trade on such basis until and including April 14, 2021. Trades of G2 Shares during this time will have a due bill attached, which will allow the purchaser of G2 Shares, rather than the seller of G2 Shares, to receive the distribution of S2 Shares (and S2 Rights) pursuant to the Arrangement even if such trades are settled after the Effective Date. It is expected that effective at the opening of markets on April 15, 2021, the G2 Shares will commence trading on an ex-distribution basis without any due bill entitlement reflecting that the distribution of S2 Shares (and S2 Rights) has occurred. G2 Shareholders of record as of the Effective Date are entitled to receive S2 Shares in respect of the G2 Shares they hold. No additional action is required by registered G2 Shareholders in order to receive S2 Shares, and they will retain any certificates or direct registration statements representing their G2 Shares. It is expected that DRS statements representing the S2 Shares to which the registered G2 Shareholders are entitled to under the Arrangement will be mailed out on April 14, 2021, to...

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