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Mawson Demerger Update: Southern Cross Gold Lodges Prospectus in Australia
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED S...
About this update from Southern Cross Gold Consolidated Ltd.
[{"type":"text","content":"Mawson Demerger Update: Southern Cross Gold Lodges Prospectus in AustraliaNOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATESVANCOUVER, BC / ACCESSWIRE / March 24, 2022 / Mawson Gold Limited (\"Mawson\" or the \"Company\") (TSX:MAW)(Frankfurt:MXR)(PINKSHEETS:MWSNF) is pleased to announce that its Australian subsidiary, Southern Cross Gold Ltd (\"SXG\") has lodged a prospectus dated 17 March 2022 (the \"Prospectus\") with the Australian Securities and Investments Commission (\"ASIC\").Highlights:Prospectus lodged with ASIC to raise between A$8,000,000 and A$10,000,000;Contract signed to acquire 300 acres of freehold land at the Sunday Creek Project;A$70k investment into Nagambie Resources to maintain Southern Cross Gold's strategic 10% holdingMichael Hudson, Executive Chairman of Mawson and MD-elect for Southern Cross, states: \"Our plan to create value for Mawson shareholders through the demerger of SXG is one very important step closer with the lodgment of the SXG Prospectus. Confidence in the asset base is growing daily as evidenced in the freehold purchase and the top-up of Nagambie shares - both complimentary strategic efforts to secure SXG's future as a potential gold miner in the region.\"ProspectusThe \"Equity Offer\" under the Prospectus consists of between 40,000,000 and 50,000,000 SXG Shares at A$0.20 per SXG Share to raise between A$8,000,000 and A$10,000,000 before costs. The dual Lead Brokers are Baker Young Limited and Pulse Markets, and the Equity Offer is anticipated to open, subject to ASIC review, eight days after the date of the Prospectus and remain open for 4 weeks, unless it closes early. The initial public offering of SXG (the \"IPO\") is anticipated to be finalized in 6-8 weeks following lodgment of the Prospectus.Mawson's holding in SXG is anticipated to dilute to approximately 58% based on SXG's then issued capital post IPO (A$10m assumed). Under ASX listing rules, Mawson's shareholding in SXG will be classified as ‘restricted shares', and thus escrowed for 24 months following the completion of the IPO.Purchase of Freehold and Nagambie SharesSXG (via its wholly owned subsidiary Clonbinane Goldfield Pty Ltd) has signed a contract with a landholder to acquire 300 acres of freehold land that includes the entire drilled area of the Sunday Creek Project. S...