Chilean Approves 2.5:1 Consolidation

About this update from Power Metallic Mines Inc.

[{"type":"text","content":"Chilean Approves 2.5:1 Consolidation(via TheNewswire)\n\n \nToronto, ON / TheNewswire / May 23, 2019 Chilean Metals Inc. (\"Chilean Metals,\" \"CMX\" or the \"Company\") (TSX.V:CMX, OTCQB: CMETF, SSE:CMX, MILA: CMX) has approved a 2.5:1 rollback of its common stock and intends to apply to the TSXV immediately to approve the consolidation. Under the Company's Articles and the Business Corporations Act (British Columbia), the board of directors may approve a consolidation. The Company presently has 35,404,940 shares outstanding which will consolidate into approximately 14,161,976 post-consolidation common shares. The Company will require a new CUSIP in connection with the consolidation. Post-consolidation it expects to secure additional financing of approximately $1,000,000 at a price and terms to be determined in the context of the post-consolidated market.\n\n\n \n\"Consolidations are not a happy occurrence for shareholders. We understand this and have tried to avoid the issue but current conditions suggest that for the ultimate benefit of the shareholder base that this is the best decision. We believe this approach will provide a stronger platform for the future as we seek to maximize our asset valuations. Prospective new investors have requested this approach and we agreed subject to enabling our existing shareholders to have equal opportunity. To ensure existing shareholders have an opportunity to participate in the next round, in addition to available prospectus exemptions such as the accredited investor exemption, the Company will be making use of the Existing Shareholder Exemption as further defined below. This will ensure shareholders of record as of a particular date will be eligible to participate in the round. We would ask any shareholders who are interested to contact me at the email address on this press release,\" commented Chilean CEO Terry Lynch. \n\n\n \nThe next round of financing is expected to be conducted in reliance upon available prospectus exemptions, including the existing shareholder exemption (the \"Existing Shareholder Exemption\") contained in OSC Rule 45-501, BCI 45-534 and various corresponding blanket orders and rules of participating jurisdictions. \n\n\n \nThe Company will set a record date for the purpose of determining existing shareholders entitled to purchase securities pursuant to the Existi...

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