G2 Goldfields Announces Court Approval of Spin-out of Sandy Lake Project and “Due Bill” Trading Dates

About this update from G2 Goldfields, Inc.

[{"type":"text","content":" TORONTO, March 31, 2021 (GLOBE NEWSWIRE) -- G2 Goldfields Inc. (“G2” or the “Company”) (TSXV:GTWO; OTCQX:GUYGF) is pleased to announce that it has received a final order from the Ontario Superior Court of Justice approving the previously announced proposed spin-out of the Company’s Sandy Lake property (the “Sandy Lake Project”) into a wholly-owned subsidiary of G2, S2 Minerals Inc. (“S2”), by a Plan of Arrangement under the Canada Business Corporations Act (the “Arrangement”). Pursuant to the Arrangement, G2 will spin-out all of the common shares of S2 (the “S2 Shares”) it receives under the Arrangement to G2 shareholders on a pro rata basis, such that G2 shareholders will receive one S2 Share for every ten common shares of G2 (the “G2 Shares”) held as of the Effective Date (as defined below), subject to the “due bills” trading procedure of the TSX Venture Exchange (the “TSXV”). S2 will also issue rights (“S2 Rights”) to the holders of the S2 Shares to raise gross proceeds of approximately C$1.2 million (the “Rights Offering”). The G2 Shares are and will continue to be listed and posted for trading on the TSXV upon closing of the Arrangement, which is expected to occur on April 9, 2021 (the “Effective Date”). The “record date” for the “due bills” trading procedure and the Rights Offering is the Effective Date (i.e. April 9, 2021). The TSXV has advised that the G2 Shares are expected to commence trading on a “due bill” basis effective from the opening of markets on April 8, 2021 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. The due bill payment date is expected to be April 14, 2021. Additional details of the Arrangement, including the Rights Offering, are more fully described in the management information circular (the “Arrangement Circular”) that was mailed to all G2 Shareholders of record as of February 15...

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