Desert Star Resources Ltd. Announces Share Consolidation
717, 1030 West Georgia Street Vancouver, British Columbia V6E 2Y3 Telephone: 604 639-9052 Fax: 604 628-1249
NEWS RELEASE
DESERT STAR RESOURCES LTD. ANNOUNCES SHARE CONSOLIDATION
Vancouver, BC, Canada – April 28, 2017 – Desert Star Resources Ltd. (TSXV: DSR) (the "Company") announces that the TSX Venture Exchange has (the “Exchange”) approved a share consolidation of the outstanding share capital of the Company (the "Consolidation") of the Company’s common shares on the basis of two (2) pre-Consolidation common shares for one (1) post-Consolidation common share.
The Consolidation will be effective at the open of the market on Monday, May 1, 2017 (the "Effective Date"). The Company will not change its name as part of the Consolidation, but will issue new share certificates under a new CUSIP number, which is 25044W302. The Company's common shares will continue to trade on the Exchange under its current symbol "DSR".
In connection with the Consolidation, the common shares issuable upon exercise of the Company’s share purchase warrants exercisable at $0.50 per common share until July 5, 2017 (the “Warrants”), which are listed for trading on the Exchange under the symbol DSR.WT, will be adjusted to provide that every two Warrants will be exercisable to purchase one post-Consolidation common share at an aggregate exercise price of $1.00. No fractional shares will be issued upon exercise of the Warrants.
The Company currently has 32,895,802 common shares and 11,374,952 Warrants issued and outstanding. As at the Effective Date the Company will have approximately 16,447,901 post-Consolidated common shares and 11,374,952 Warrants to purchase 5,687,476 post Consolidated common shares issued and outstanding. No action is required to be taken by security holders with respect to the Consolidation and outstanding certificates representing the Company common shares and the Warrants will not need to be exchanged.
ON BEHALF OF THE BOARD OF DIRECTORS OF DESERT STAR RESOURCES LTD.
"Vince Sorace"
President & CEO, Desert Star Resources Ltd.
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 NEW RELEASE MAY CONTAIN FORWARD-LOOKING STATEMENTS. THESE STATEMENTS ARE BASED ON CURRENT EXPECTATIONS AND ASSUMPTIONS THAT ARE SUBJECT TO RISKS AND UNCERTAINTIES. ACTUAL RESULTS COULD DIFFER MATERIALLY BECAUSE OF FACTORS DISCUSSED IN THE MANAGEMENT DISCUSSION AND ANALYSIS SECTION OF OUR INTERIM AND MOST RECENT ANNUAL FINANCIAL STATEMENT OR OTHER REPORTS AND FILINGS WITH THE TSX VENTURE EXCHANGE AND APPLICABLE CANADIAN SECURITIES REGULATIONS. WE DO NOT ASSUME ANY OBLIGATION TO UPDATE ANY FORWARD- LOOKING STATEMENTS.
40169|3217003_1|LSCHOOLEY 27/04/2017