- Golden Independence Mining and Hilo Mining Corp. have agreed to transfer the Champ Property to Spinco in exchange for 1,499,999 shares of Spinco
- Golden will then distribute 1,000,000 of the spinout shares to shareholders
- Spinco will seek a listing of its common shares on either the CSE or the TSX-V, conditional on Spinco completing a $600,000 private placement
- Golden also announces that it has entered into an engagement letter with Sprott Capital Partners LP who will act as a financial advisor
- Golden Independence Mining Corp. is an exploration company
- Golden Independence Mining Corp. (IGLD) opened trading at C$0.255 per share.
Golden Independence Mining (IGLD) is pleased to provide an update on the proposed spin-out of its Champ precious metals property.
The company has entered into an arrangement agreement with Hilo Mining Corp., currently a wholly-owned subsidiary of Golden, to transfer the Champ Property to Spinco in exchange for the issuance of 1,499,999 common shares of Spinco.
In accordance with the terms of the arrangement, the company will then distribute 1,000,000 of the spinout shares to shareholders. As a result of the arrangement, Spinco will seek a listing of its common shares on either the CSE or the TSX-V. A listing will be conditional on Spinco completing a private placement which is currently anticipated to be comprised of the issuance of 6,000,000 common shares of Spinco at a price of $0.10 per common share for gross proceeds of $600,000.
Completion of the Plan of Arrangement is subject to a number of conditions including approval by shareholders and the Supreme Court of British Columbia.
In connection with the Plan of Arrangement, the company has called an annual and special shareholders meeting for June 1, 2021.
Golden also announces that it has entered into an engagement letter with Sprott Capital Partners LP. Sprott has agreed to act as financial advisor to the company. Golden has agreed to issue 300,000 common shares to Sprott as a work fee. Issuance of the shares remains subject to the approval of the CSE.
Golden Independence Mining Corp. is an exploration company currently focused on exploring the advanced-stage Independence property located in the Battle Mountain-Cortez Trend, Nevada and the Champ precious metal property near Castlegar, British Columbia.
Golden Independence Mining Corp. (IGLD) opened trading at C$0.255 per share.
