Business
Vista Gold Corp. Reports Progress on Nevada Spin-off Company
Vista Gold Corp. Reports Progress on Nevada Spin-off Company.
About this update from Vista Gold Corp
[{"type":"text","content":"\n\n\n\n\nDENVER, Sept. 22 /CNW/ -- Vista Gold Corp. (Amex: VGZ; Toronto) is\npleased to announce that its Board of Directors, and its Special Committee of\nindependent directors, met today regarding the proposed transaction,\npreviously announced in the Corporation's press release dated July 10, 2006,\nthat would result in the spin-off of the Corporation's Nevada based properties\ninto a new publicly-listed company and the acquisition by that new company of\nthe Nevada based mineral assets of Carl and Janet Pescio (the \"Pescios\"). The\nBoard approved the arrangement and merger agreement and other matters relating\nto the transaction. Securityholders of the Corporation will be asked to\napprove matters relating to the transaction at a meeting currently scheduled\nfor November 15, 2006 (with a record date of October 10, 2006). In addition,\nthe Corporation has confirmed that the name of the new company will be \"Allied\nNevada Gold Corp.\", and announced the hiring of the President and Chief\nExecutive Officer and the appointment of the initial board of directors, for\nthe new company.\nCompletion of the transaction remains subject to a number of conditions,\nincluding receipt of all required court, shareholder, regulatory and third\nparty approvals and certain other customary conditions. These conditions also\ninclude the requirement for Vista to complete an equity financing that raises\nproceeds of not less than US$25 million. The purpose of this funding is to\nprovide the initial funding for Allied Nevada.\nSubject to receipt of the required approvals, the transaction is\ncurrently expected to close in late November 2006.\nIf approved by shareholders, court and regulatory authorities, the\nformation of Allied Nevada will result in a company that controls or has\nroyalty interests in approximately 190,000 acres of prospective patented and\nunpatented mining claims in known mineralized trends of Nevada, a war chest of\nfunding to advance its exploration and development efforts, and income from\nadvance minimum royalty payments. In addition to holding one of the largest\nmineral claim land positions in Nevada, Allied Nevada will hold the Hycroft\nmine, an advanced stage project, and other advanced exploration projects\nincluding Wildcat, Maverick Springs and Mountain View.\nA highly experienced exploration and management mining...