Business
Lions Bay Capital Announces Update Regarding Lions Bay Resources' Offer for Barbrook and MIMCO
Vancouver, British Columbia--(Newsfile Corp. - April 17, 2026) - Further to the Company's news re...
About this update from Lions Bay Capital, Inc.
[{"type":"text","content":"Lions Bay Capital Announces Update Regarding Lions Bay Resources' Offer for Barbrook and MIMCOVancouver, British Columbia--(Newsfile Corp. - April 17, 2026) - Further to the Company's news releases on March 23, 2026, March 25, 2026, and April 15, 2026, Lions Bay Capital Inc. (TSXV: LBI) (\"LBI\" or \"Lions Bay\") provides an update on the proposed acquisition by Lions Bay Resources (Pty) Ltd (\"LBR\") of certain assets of Barbrook Mines (Pty) Ltd (\"Barbrook\") and Makonjwaan Imperial Mining Company (Pty) Ltd (\"MIMCO\") in South Africa. LBR is owned 35% by Lions Bay, 35% by the Salamander Group, and 30% by Metals One Plc (LSE: MET1) (\"Metals One\").Lions Bay is is pleased to confirm that yesterday the creditors of Barbrook approved the business rescue plan pursuant to which LBR offered to acquire certain assets of Barbrook (including 2.1Moz of gold resource*) for ZAR 279 million (approximately US$17.0 million). As such, LBR will now settle creditors as follows: (i) Staff will be paid 100% of their entitlements, less any amounts previously settled by the major creditor; (ii) Creditors will be paid 10% of their approved claims; and (iii) the 90% balance will be paid to creditors once the Section 11 application has been granted (transfer of mining rights). Payments (i) and (ii) will be funded from LBR's existing cash held in escrow and it is expected payment (iii) will be funded pursuant to the funding proposal/s being considered by LBR (as described below). LBR is continuing to actively work towards satisfying the various conditions precedent necessary to complete the business rescue process, which include (amongst other things), the payment of salary claims of former employees of Barbrook in full, the payment of approved claims of creditors of Barbrook and the granting of section 11 approval by the Minister of the Department of Mineral Resources and Energy for the transfer of the mining rights of Barbrook to LBR. In addition, definitive acquisition agreements will need to be negotiated and entered into by LBR and the BRP in order to give contractual effect to the plan.LBR has received an indicative confidential proposal to fund the balance of the capital required to complete the acquisition of the assets of Barbrook, together with additional initial mine start-up capital, and is also considering other confidential funding propo...