Business
Mawson Plans to IPO a New ASX Gold-Focused Company, Southern Cross Gold
VANCOUVER, BC / ACCESSWIRE / November 23, 2021 / Mawson Gold Limited ("Mawson" or the "...
About this update from Southern Cross Gold Consolidated Ltd.
[{"type":"text","content":"Mawson Plans to IPO a New ASX Gold-Focused Company, Southern Cross GoldVANCOUVER, BC / ACCESSWIRE / November 23, 2021 / Mawson Gold Limited (\"Mawson\" or the \"Company\") (TSX:MAW) (Frankfurt:MXR) (PINKSHEETS: MWSNF) is pleased to announce that as a result of an internal strategic review of its asset portfolio, the Company has decided the optimal pathway to maximize shareholder value is to spin out its Australian assets into a new entity, Southern Cross Gold Pty Ltd. (\"Southern Cross\") via an Initial Public Offering (\"IPO\") for admission to the official list of ASX Limited (\"ASX\" or \"Australian Stock Exchange\"), which will allow the Company to focus on the development of its 100% owned Rajapalot gold-cobalt project in Finland and to expand its operations in that region (the \"Spinout\"). The proposed Spinout will establish Southern Cross as a new ASX-listed gold exploration company, with its own experienced board and management team. Southern Cross is an Australian-incorporated company and currently a wholly-owned subsidiary of Mawson.Key Points:Mawson intends to spin out its Australian assets via an IPO on the ASX (subject to ASX approvals), namely:100% owned Sunday Creek tenements in Victoria and Mount Isa projects in Queensland;The Redcastle and Whroo joint ventures in Victoria;Its 10% shareholdings of ASX-listed Nagambie Resources Limited (ASX:NAG) (\"Nagambie\") including its Right of First Refusal over a 3,300 square kilometre tenement package held by Nagambie in Victoria.All Australian focus: Dedicated strategy and local board and management team led by Mawson's Executive Chairman, Michael Hudson.The Australian assets represent a strong capital markets story, with the Spinout and listing enabling look-through value for Mawson's shareholders.Southern Cross intends to undertake a pre-IPO placement to advance drilling and fund operations ahead of the IPO expected in H1 2022.Mawson intends to distribute the ordinary shares of Southern Cross it holds after ASX listing on a pro rata basis to the Mawson shareholders by way of a plan of arrangement (the \"Arrangement\"), subject to Mawson shareholder, court, TSX and regulatory approvals).The Company has made an Application for In-principle Advice to support Southern Cross' suitability for admission to the official list of the ASX. A full reply is awaited. Further details...