Business
Majestic Announces Listing Application to HKEX for IPO of Subsidiary Sinogold Resources Holdings Group Co., LTD.
(TheNewswire) Vancouver, British Columbia – TheNewswire - ...
About this update from Majestic Gold Corp.
[{"type":"text","content":"Majestic Announces Listing Application to HKEX for IPO of Subsidiary Sinogold Resources Holdings Group Co., LTD.\n \n \n (TheNewswire)\n \n \n \n \n \n \n \n \n \n \n \n \n Vancouver, British Columbia –\n \n \n TheNewswire -\n \n \n March 30, 2022 -\n \n \n Majestic Gold Corp. (\"\n \n \n Majestic\n \n \n \" or the\n\"\n \n \n Company\n \n \n \") (TSXV:MJS)\n \n \n (OTC:MJGC)\n \n \n is pleased to announce that\nits 94% owned subsidiary, SINOGOLD Resources Holdings Group Co., Ltd.\n(\"\n \n \n Sinogold\n \n \n \") has submitted its application for listing of shares\nin the capital of Sinogold (the \"\n \n \n Shares\n \n \n \") on the\nMain Board of The Stock Exchange of Hong Kong Limited (the\n\"\n \n \n HKEX\n \n \n \") concurrent with the proposed initial public offering\n (collectively with the listing application, the \"\n \n \n Proposed IPO\n \n \n \")\nof newly issued Shares of Sinogold representing 25% of its total\nissued and outstanding Shares upon successful listing of the Shares.\n \n \n \n \n In connection with the Proposed IPO, Sinogold has filed\nits application proof of its prospectus with the HKEX on March 30,\n2022 (the \"\n \n \n Application\nProof\n \n \n \"). A redacted form of the Application\nProof is available for viewing and downloading on the HKEX’s website\nat: http://www.hkexnews.hk/APP/SEHKAPPMainIndex.htm and is on the\nCompany's website at www.majesticgold.com.\n \n \n \n \n Through its subsidiaries, Sinogold owns a 75% interest\nin\n \n Yantai Zhongjia Mining Co. Ltd., which operates\n \n the Songjiagou Gold Mine (the \"\n \n \n Property\n \n \n \")\nlocated in the eastern part of the Shandong Province, China. While\nMajestic will continue to own approximately 70.5% of total issued and\noutstanding Shares of Sinogold upon successful listing of the Shares,\nwhich could materially dilute Majestic’s ownership in the Property.\n Subsequent to the successful listing of the Shares on the HKEX,\nSinogold could issue additional Shares, which may further dilute\nMajestic's cumulative effective interest in the Property to less than\n50%. However, the Board of Directors of Majestic, with the advice from\nits legal and financial advisors, have considered the potential\ndilutive effects and determined that a listing on the HKEX by Sinogold\nmay achieve a greater valuation for Sino...