Business
Proposed Share Capital Consolidaton
Proposed Share Capital Consolidaton.
About this update from Landore Resources Limited
[{"type":"text","content":"\n \n \n RNS Number : 9503T\n Landore Resources Limited\n 24 July 2020\n \n \n \n \n 24 July 2020\n \n \n Landore Resources Limited \n \n \n (\"Landore Resources\" or the \"Company\")\n \n \n Proposed Share Capital Consolidation\n \n \n Landore Resources Limited (AIM:LND), today announces a proposed share capital consolidation (\"Share Consolidation\") of the existing ordinary share capital of the Company (\"Ordinary Shares\").\n \n \n The effect of the proposed Share Consolidation will be to reduce the number of issued ordinary shares of no par value each in the Company (\"Ordinary Shares\") by a multiple of 20, which is expected to increase the trading price of the resulting ordinary share proportionally. \n \n \n The Board considers the Share Consolidation to be in the best interests of the Company and the shareholders in the Company (\"Shareholders\"), as it believes that the effect of the Share Consolidation will be to improve the market liquidity of and trading activity in the Company's shares. The Directors believe that the existing share capital structure is no longer appropriate, as the high number of shares in issue combined with the relatively low price per share is thought to result in excess volatility and reduced liquidity in the Company's shares. By proceeding with the Share Consolidation, the Directors anticipate that a higher price per share will improve the marketability of the Company and could increase interest from institutional investors in the UK and overseas which should improve the liquidity of the Company's shares.\n \n \n As it is proposed that all existing ordinary shares held in the Company be consolidated, the proportion of the issued ordinary share capital of the Company held by each Shareholder immediately before and after the Capital Reorganisation will remain relatively unchanged, other than for small changes that may arise from the rounding for fractional entitlements.\n \n \n Implementation of the Share Consolidation requires the approval of Shareholders. This approval is being sought at an Extraordinary General Meeting of the Company (\"EGM\"), which is scheduled to be held at 12.00 p.m. on 20 August 2020 (or as soon as thereafter following completion of the Annual General Meeting) at La Tonnelle House, Les Banques, St Sampson, Guernsey, GY1 3HS at which the resolution necessary t...