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Silver Elephant Announces Execution of Plan of Arrangement and Spin-Out of Nickel and Vanadium Assets
VANCOUVER, BC / ACCESSWIRE / August 26, 2021 / Silver Elephant Mining Corp. ("Silver Elephant...
About this update from Silver Elephant Mining Corp
[{"type":"text","content":"Silver Elephant Announces Execution of Plan of Arrangement and Spin-Out of Nickel and Vanadium AssetsVANCOUVER, BC / ACCESSWIRE / August 26, 2021 / Silver Elephant Mining Corp. (\"Silver Elephant\" or \"the Company\") (TSX:ELEF, OTCQX:SILEF, Frankfurt:1P2N) announces that it has executed a plan of arrangement under the Business Corporations Act (British Columbia) pursuant to which, it shall (the \"Arrangement\"): (i) as disclosed in a Company press release dated August 26, 2021, transfer certain royalties presently held by the Company in certain projects of the Company to Battery Metals Royalties Corp. (\"Battery Metals Royalties\"), a wholly owned subsidiary of the Company; and (ii) spin-out its Manitoba based Minago Nickel project (\"Minago\"), its Nevada based Gibellini Vanadium project (\"Gibellini\"), and Battery Metals Royalties each into its own entity (each a \"SpinCo\"). In connection with the Arrangement, the Company shall distribute shares of each SpinCo to the Company's shareholders (\"Shareholders\").Pursuant to the Arrangement, it is currently expected that each Shareholder will receive one share of the Minago SpinCo, one share of the Gibellini SpinCo, and two Battery Metals Royalties SpinCo shares for every share of Silver Elephant held by such Shareholder on the record date for the Arrangement (the \"Record Date\"). Subject to receipt of required Shareholder, court, regulatory, Toronto Stock Exchange and other approvals and satisfaction of other closing conditions, the Arrangement is expected to close in December, 2021.The share distribution offers Shareholder direct participation in the growth and upside in each of the four companies' businesses (silver mining, vanadium mining, nickel mining, and royalty investments). Following completion of the Arrangement, each SpinCo is expected to aim to list on a Canadian securities exchange to enhance their respective share trading liquidity, price discovery and facilitate equity financings to support future business expansion.The Company cautions there can be no assurance that the Arrangement will be completed on the terms described herein or that the proposed public listings of the SpinCos will be completed.Further Details on the Plan of ArrangementSubject to adjustment, it is presently expected that following completion of the Arrangement, Silver Elephant securityholder...