Owner
Post by Franko10 ™ on Oct 7, 2004 13:57:59 GMT -5
Shore announces closing of initial public offering of Wescan Goldfields Inc. and distribution of dividend in kind
14:14 EDT Thursday, October 07, 2004
Stock Symbol: TSX-VEN: SGF
SASKATOON, SK, Oct. 7 /CNW/ - George Sanders, Vice-President of Corporate Development of Shore Gold Inc. ("Shore" or the "Company"), is pleased to provide further details on the previously-announced plan to spin out the Company's portfolio of gold assets to a new public company, Wescan Goldfields Inc. ("Wescan"). Shore is pleased to report that Wescan has closed its initial public offering of 14,000,000 common shares at a price of $0.10 per share to raise gross proceeds of $1,400,000. The financing for the IPO was completed on a best efforts basis by Wellington West Capital Inc., acting as Agent. In conjunction with the IPO, Wescan has filed a prospectus in each of the provinces of British Columbia, Alberta, Saskatchewan, Manitoba and Ontario (the "Filing Jurisdictions"). Wescan's common shares have been conditionally approved for listing on the TSX Venture Exchange under the symbol "WGF".
As part of the spin-out transaction, Shore will distribute to its shareholders who reside in the Filing Jurisdictions, as a dividend-in-kind, 3,529,995 shares of Wescan, on the basis of one share of Wescan for every 10 shares of Shore held by such shareholders as of the close of business on September 10, 2004 (with fractional shares of Wescan rounded down). The shares of Wescan to be distributed to such Shore shareholders were cleared through the IPO prospectus. Shareholders who do not reside in the Filing Jurisdictions, will receive, in lieu of Wescan shares, a cash dividend equal to $0.10 for every share of Wescan they would be entitled to receive if they resided in the Filing Jurisdictions, subject to deduction of any applicable withholding tax. Shore had previously announced that it had made an application in Quebec for a discretionary order to allow the Wescan dividend-in-kind shares to be distributed to shareholders residing in Quebec without the filing of the prospectus. This order was not granted and, accordingly, the shareholders residing in Quebec, like all of the shareholders not residing in the Filing Jurisdictions, shall receive cash instead of Wescan shares.
On completion of the Wescan IPO and the distribution of the Wescan shares pursuant to the dividend-in-kind, Shore will hold 8,470,105 shares of Wescan, representing 32.6% of the issued shares.
Shore is a Canadian-based corporation engaged in the acquisition, exploration and development of mineral properties. Shares of the Company trade on the TSX Venture Exchange under the trading symbol "SGF".
"The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release."
/For further information: Mr. Kenneth E. MacNeill, President and Chief Executive Officer or George Sanders, Vice President Corporate Development, at (306) 664-2202/
14:14 EDT Thursday, October 07, 2004
Stock Symbol: TSX-VEN: SGF
SASKATOON, SK, Oct. 7 /CNW/ - George Sanders, Vice-President of Corporate Development of Shore Gold Inc. ("Shore" or the "Company"), is pleased to provide further details on the previously-announced plan to spin out the Company's portfolio of gold assets to a new public company, Wescan Goldfields Inc. ("Wescan"). Shore is pleased to report that Wescan has closed its initial public offering of 14,000,000 common shares at a price of $0.10 per share to raise gross proceeds of $1,400,000. The financing for the IPO was completed on a best efforts basis by Wellington West Capital Inc., acting as Agent. In conjunction with the IPO, Wescan has filed a prospectus in each of the provinces of British Columbia, Alberta, Saskatchewan, Manitoba and Ontario (the "Filing Jurisdictions"). Wescan's common shares have been conditionally approved for listing on the TSX Venture Exchange under the symbol "WGF".
As part of the spin-out transaction, Shore will distribute to its shareholders who reside in the Filing Jurisdictions, as a dividend-in-kind, 3,529,995 shares of Wescan, on the basis of one share of Wescan for every 10 shares of Shore held by such shareholders as of the close of business on September 10, 2004 (with fractional shares of Wescan rounded down). The shares of Wescan to be distributed to such Shore shareholders were cleared through the IPO prospectus. Shareholders who do not reside in the Filing Jurisdictions, will receive, in lieu of Wescan shares, a cash dividend equal to $0.10 for every share of Wescan they would be entitled to receive if they resided in the Filing Jurisdictions, subject to deduction of any applicable withholding tax. Shore had previously announced that it had made an application in Quebec for a discretionary order to allow the Wescan dividend-in-kind shares to be distributed to shareholders residing in Quebec without the filing of the prospectus. This order was not granted and, accordingly, the shareholders residing in Quebec, like all of the shareholders not residing in the Filing Jurisdictions, shall receive cash instead of Wescan shares.
On completion of the Wescan IPO and the distribution of the Wescan shares pursuant to the dividend-in-kind, Shore will hold 8,470,105 shares of Wescan, representing 32.6% of the issued shares.
Shore is a Canadian-based corporation engaged in the acquisition, exploration and development of mineral properties. Shares of the Company trade on the TSX Venture Exchange under the trading symbol "SGF".
"The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release."
/For further information: Mr. Kenneth E. MacNeill, President and Chief Executive Officer or George Sanders, Vice President Corporate Development, at (306) 664-2202/
