Business
Offering of Special Warrants and General Meeting
Offering of Special Warrants and General Meeting.
About this update from Serabi Gold Plc
[{"type":"text","content":"\n \n\n\n\n\n SERABI MINING plc\n\n (\"Serabi\" or \"the Company\")\n\n\n\n Offering to raise C$5,538,500\n\n Proposed Ordinary Share Consolidation\n\n and General Meeting\n\n\n\nSerabi Mining, the AIM-traded gold exploration company, is pleased to announce\nthat it has completed a conditional offering (the \"Offering\") of special\nwarrants of the Company (the \"Special Warrants\") to Canadian and other investors\nto raise gross proceeds of C$5,538,500. If all conditions of the Offering are\nmet, including satisfaction of the Escrow Release Condition (being the proposed\nOrdinary Share Consolidation), the Special Warrants will automatically convert\ninto the equivalent of, in aggregate, 10,070,000 Ordinary Shares and 5,035,000\nWarrants.\n\n\n\nAt the closing exchange rate on 2 December 2010 of UK£1 : C$1.5649,  the\noffering price is equivalent to 3.515 pence for each Ordinary Share and the\ngross proceeds would amount to £3,539,204.\n\n\n\nThe net proceeds raised from the Offering are intended to be applied to Serabi's\non-going exploration activities at and around the Palito mine and in the\nevaluation of the wider 60,000 hectare Jardim do Ouro tenement holding that\nsurrounds the Palito Mine, and for general corporate purposes.\n\n\n\nFollowing completion of the Offering, the Company intends to take the steps\nrequired to apply to list the Ordinary Shares on a Canadian stock exchange in\nearly 2011. The Ordinary Shares of the Company will continue to be listed and\ntraded in the UK on AIM.\n\n\n\nIn anticipation of a listing application to a Canadian stock exchange and\nfollowing consultation with the Company's advisers, the Board has determined\nthat it is appropriate to consolidate the Existing Ordinary Shares to bring the\nCompany's Ordinary Share capital more into line with its prospective peer group\nof comparable Canadian-listed gold companies. The Company will therefore be\nseeking Shareholder approval at a General Meeting of the Company for a\nConsolidation of the Existing Ordinary Shares on the basis of 1 New Ordinary\nShare for every 10 Existing Ordinary Shares.\n\n\n\nThe Company will today dispatch the notices to all Shareholders convening a\nGeneral Meeting to approve the Consolidation to be held on 21 December 2010 at\nthe offices of the Company's lawyers, Farrer & Co LLP, at 66...