August Metal Corp. Annual General Meeting and Proposed Consolidation
4005 – 1011 West Cordova Street, Vancouver, British Columbia, V6C 0B2 Tel (604) 408-1990 Fax (604) 608-4822 www.augustmetal.com [email protected]
News Release
August Metal Corp. Annual General Meeting and Proposed Consolidation
Vancouver, B.C. - March 28, 2013 – August Metal Corporation ("August Metal" or the "Company") (AGP-TSXV) has scheduled its next annual general meeting of shareholders for April 24, 2013. At the meeting, in addition to regular business, shareholders will be asked to consider special resolutions to approve a consolidation of its shares on the basis of up to 10 pre-consolidation shares for each post-consolidation share and to authorize the directors of the Company to change the name of the Company. The proposed consolidation and name change are both subject to acceptance by the TSX Venture Exchange.
Management believes that a share consolidation is necessary to provide the Company with a capital structure that will facilitate equity and/or debt financing. The proposed share consolidation is expected to increase the market price of the Company's common shares on a per share basis by reducing the number of common shares outstanding. However, no assurance can be given as to the effect of the consolidation on the value of the Company's common shares or as to the availability of additional financing following any consolidation. The consolidation ratio may be decreased to less than 10:1 at the discretion of the directors.
The Company currently has 33,603,645 common shares outstanding. After giving effect to a 10:1 consolidation, the Company would have approximately 3,360,365 shares outstanding.
On behalf of the Board of Directors August Metal Corporation
Clive Brookes President
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This release may contain forward-looking statements or statements relating to matters that involve a number of risks and uncertainties. Actual events or results could differ materially from the Company’s expectations.