Business
Usha Resources Shareholders Overwhelmingly Approve the Spin-Out of Formation Metals Inc.
Company Confirms Further Evidence of Brine-Forming Environment in Jackpot Lake Lithium Brine Proj...
About this update from Usha Resources Ltd
[{"type":"text","content":"\nUsha Resources Shareholders Overwhelmingly Approve the Spin-Out of Formation Metals Inc.Company Confirms Further Evidence of Brine-Forming Environment in Jackpot Lake Lithium Brine Project as Drilling Pushes Past 440-Metre LevelVANCOUVER, BC / ACCESSWIRE / December 21, 2022 / Usha Resources Ltd. (\"USHA\" or the \"Company\") (TSXV:USHA)(OTCQB:USHAF)(FSE:JO0), a North American mineral acquisition and exploration company focused on the development of drill-ready battery and precious metal projects, is pleased to announce that its shareholders (the \"USHA Shareholders\") have approved the previously announced proposed spin-out of the Company's wholly owned-subsidiary, Formation Metals Inc. (\"Formation Metals\" or \"FMI\"), through a plan of arrangement (\"Arrangement\") between USHA and FMI. The special resolution was approved at the Company's annual general and special meeting of its shareholders which was held on December 16, 2022 (the \"ASGM\") by 99.76% of the votes cast.Upon completion of the Arrangement and the share exchange pursuant to the Arrangement, each USHA Shareholder will receive one (1) common share of FMI with respect to every five (5) common shares of USHA held on the Share Distribution Record Date (the \"Share Distribution Record Date\"). For example, upon completion of the Arrangement, for each 10,000 common shares of USHA owned on the Share Distribution Record Date, the USHA Shareholder will own 2,000 common shares of FMI. USHA Shareholders will continue to own the same number of USHA common shares as they did on the Share Distribution Record Date.FMI will then hold the Company's interest in the Nicobat Nickel Project and will focus on the advancement of this project, while USHA will retain and focus on the advancement of its exploration projects in the USA, including the Jackpot Lake Lithium Brine Project where the Company has begun its drilling program (https://tinyurl.com/26ryndz3).The Company will proceed with completing closing conditions of the Arrangement, including seeking final approval of the Arrangement by the Supreme Court of British Columbia and the TSX Venture Exchange (the \"TSXV\") in January 2023. The Arrangement cannot be completed until these conditions have been met.USHA Shareholders must hold their USHA common shares on the Share Distribution Record Date in order to receive their pro rat...