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Zincore and Mines & Metals Trading Sign Letter of Intent for Proposed Reverse Takeover Transaction
VANCOUVER, BC / ACCESSWIRE / January 21, 2019 / Zincore Metals Inc. (NEX: ZNC.H ) (" Zinc...
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[{"type":"text","content":"Zincore and Mines & Metals Trading Sign Letter of Intent for Proposed Reverse Takeover TransactionVANCOUVER, BC / ACCESSWIRE / January 21, 2019 / Zincore Metals Inc. (NEX: ZNC.H) (\"Zincore\" or the \"Company\") announces that that it has entered into a Letter of Intent (\"LOI\") dated January 13, 2019 with Mines & Metals Trading (Peru) PLC, (\"MMTP\") whereby Zincore will acquire all of the issued and outstanding securities of MMTP by way of a share exchange, amalgamation or such other form of business combination as the parties may determine. Upon successful completion of the proposed acquisition of the securities of MMTP (the \"Transaction\"), it is anticipated that the Company (the \"Resulting Issuer\") will be listed as a Tier 2 Mining issuer on the TSX Venture Exchange (\"TSX-V\") and will carry on the business of the continued exploration and development of MMTP's Recuperada zinc-lead-silver project in Huancavelica, Peru. The Transaction is at arms-length and constitutes a 'reverse takeover' of the Company pursuant to Policy 5.2 of the TSX-V. Zincore and MMTP will now work toward negotiating a Definitive Agreement by March 15, 2019.Referring to the business combination with Zincore, José María García, CEO of MMTP, stated \"The transaction not only offers TSX-V investors access to the Recuperada asset that is processing feed from nearby mines, but it also expands the combined entity's project portfolio, with the addition of Zincore's Pre-Feasibility stage Accha Zinc Oxide District (\"AZOD\") Project\". Mr. García concluded \"We are extremely excited to enter this new phase as a combined company. Over this crucial year of 2019 we will work towards strengthening Recuperada's performance and continuing exploration in the district. In addition, we will start work towards reactivating Zincore's AZOD Project\". Transaction SummaryPursuant to the Transaction, Zincore will acquire all of the issued and outstanding shares of MMTP in exchange for the issuance of Zincore shares. It is expected that before the effect of any proposed financing, the holders of MMTP shares will hold 95% of the Resulting Issuer's shares, with the remaining 5% held by current Zincore shareholders. As per the LOI , it is anticipated that prior to or concurrently with the closing of the Transaction, Zincore or MMTP, as the case may be...