Golden Arrow Announces Overwhelming Shareholder Approval of Transaction with SSR Mining Inc.
Golden Arrow Announces Overwhelming Shareholder Approval of
Transaction with SSR Mining Inc.
TSX Venture Exchange (TSX-V):
GRG
Frankfurt Stock Exchange (FSE):
G6A
OTCQB Venture Market (OTCQB):
GARWF
VANCOUVER
,
Sept. 17, 2019
/CNW/ -
Golden Arrow Resources Corporation (TSX-V: GRG, FSE: G6A, OTCQB: GARWF) ("Golden Arrow" or the
"Company")
, is pleased to report that at the special meeting of
Golden Arrow
shareholders held on
September 16, 2019
(the "
Meeting
"),
Golden Arrow's
shareholders approved, by a sweeping majority, the proposed special resolution regarding the sale of the Company's 25% interest in Puna Operations Inc.
("
Puna Operations
") to its joint venture partner SSR Mining Inc. ("
SSRM
") for aggregate consideration of
C$44.4 million
, calculated as of
July 22, 2019
(the "
Transaction
"). Of the votes cast by proxy with respect to the Transaction, an aggregate of 51,458,485 common shares of
Golden Arrow
shares
were voted in favour of the Transaction, representing approximately 94.62% of the votes cast by proxy on the resolution.
"I would like to thank our shareholders for their overwhelming endorsement for this transaction," stated
Joseph Grosso
, President, CEO and Executive
Chairman. "With this historically high shareholder turnout, representing nearly 44% of the outstanding shares, the Company can now focus on making the
next discovery with our advanced and prospective projects in
Chile
,
Paraguay
and
Argentina
."
As consideration for the sale of its 25% interest in Puna Operations,
Golden Arrow
will receive:
C$3.0 million
in cash consideration
C$25.9 million
in common shares of SSRM
Approximately
C$14.5 million
in cash, which amount shall be used to repay in full at closing the outstanding principal and accrued interest owing by
Golden Arrow
under the credit agreement entered into in
July 2018
with SSRM
C$1
.0 million through the return for cancellation, for no consideration, of 4,285,714
Golden Arrow
common shares currently owned by SSRM
Payment by SSRM of
Golden Arrow's
portion of all cash contributions required to be made to Puna Operations under the Shareholders Agreement
from
July 22, 2019
until the closing date
The completion of the Transaction remains subject to the satisfaction of several conditions, including approval of the TSX Venture Exchange.
Further information regarding the Transaction is contained in
Golden Arrow's
management information circular dated
August 16, 2019
, which has been filed
on
Golden Arrow's
SEDAR profile and can be obtained at
www.sedar.com
.
About
Golden Arrow
Golden Arrow Resources Corporation is a mining exploration company with a successful track record of creating value by making precious and base metal
discoveries and advancing them into exceptional deposits. Upon completion of the Transaction, the Company will be well-leveraged to the price of gold as
a result of monetizing its Chinchillas silver discovery into a significant holding in precious metals producer SSRM.
Golden Arrow
is actively exploring a portfolio that includes advanced projects in
Chile
, a district-scale frontier opportunity in
Paraguay
, and more than
185,000 hectares of properties in
Argentina
.
The Company is a member of the Grosso Group, a resource management group that has pioneered exploration in
Argentina
since 1993.
ON BEHALF OF THE BOARD
"Joseph Grosso"
_______________________________
Mr.
Joseph Grosso
,
Executive Chairman, President and CEO
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.
This news release may contain forward-looking statements. Forward-looking statements address future events and conditions and therefore involve
inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. Readers are encouraged to
refer to the Company's public disclosure documents for a more detailed discussion of factors that may impact expected future results. The Company
undertakes no obligation to publicly update or revise any forward-looking statements.
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SOURCE
Golden Arrow Resources Corporation
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%SEDAR: 00042897E
For further information:
Corporate Communications, Tel: 1-604-687-1828, Toll-Free: 1-800-901-0058, Email: [email protected]
CO: Golden Arrow Resources Corporation
CNW 09:30e 17-SEP-19