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Cream Minerals Ltd. (TSXV:CMA,OTCQB:CRMXF) announced that it has decided not to go forward with the sale of its Nuevo Milenio silver-gold property, also noting that its board has proposed a corporate reorganization.
Cream Minerals Ltd. (TSXV:CMA,OTCQB:CRMXF) announced that it has decided not to go forward with the sale of its Nuevo Milenio silver-gold property, also noting that its board has proposed a corporate reorganization.
According to the company’s press release, the proposed changes include the following:
- The consolidation of all of Cream’s outstanding common shares on a ten (10) for one (1) basis (the “Share Consolidation”) (All numerical references in this News Release to the common shares of Cream shall hereinafter refer to the common shares of Cream on a post-Share Consolidation basis);
- Concurrent with the Share Consolidation, completion of a non-brokered private placement of up to 10,000,000 units (“Units”) at a price of $0.10 per Unit for gross proceeds of up to $1,000,000 (the “Private Placement”), of which 6,000,000 Units (for gross proceeds of $600,000) shall be the minimum offering. Mr. Frank Lang, former Chairman and a shareholder of the Company who presently holds approximately 17.1% of the issued and outstanding common shares of the Company, has agreed to subscribe or arrange for the subscription of the minimum offering of $600,000 of the Private Placement, subject to obtaining shareholder and regulatory approvals as described below;
- Each Unit will be comprised of one common share of the Company and one common share purchase warrant (“Warrant”), each Warrant entitling the holder thereof to purchase one additional common share of the Company at a price of $0.25 for a term of two years after the closing of the Private Placement;
- The Company will change its name to “Agave Silver Corp.”, or such other name as the TSX Venture Exchange (the “TSX-V”) may accept (the “Name Change”);
Click here to read the full Cream Minerals Ltd. (TSXV:CMA,OTCQB:CRMXF) press release.
