Canada-based BCM Resources has signed an amalgamation agreement for the acquisition of British Columbia company Inland Explorations.
With the deal, BCM intends to consolidate a 100% ownership interest in its Thompson Knolls Cu-Au-Mo porphyry project in the southwestern part of Utah, US.
BCM president and director Dr Sergei Diakov said: “This acquisition of Inland consolidates 100% ownership of BCM’s flagship Thompson Knolls asset. BCM shareholders are poised to benefit from a simplified ownership structure as we aggressively explore the large porphyry target at TK.”
Under the agreed terms, BCM and Inland will complete an arm’s length business combination transaction by way of amalgamation, to continue as a new company, BCM Resources Corporation.
In a press statement, BCM said: “Each common share in the capital of the Company (the “BCM Shares”) that is outstanding immediately prior to the Amalgamation (other than BCM Shares held by shareholders of BCM (the “BCM Shareholders”) who exercise their dissent rights) shall be converted into one issued and fully paid and non-assessable common share in the capital of the Resulting Issuer.”
Upon completion of the transaction, former holders of BCM shares will own about 51% of the outstanding shares in new company BCM Resources.
The former holder of Inland Shares will own about 49% of the outstanding of the new company.
This deal awaits due diligence, as well as approval by BCM and Inland shareholders, among others.
Initially, BCM signed an option agreement with Inland in September 2018 for the Thompson Knolls project. Subsequently, BCM earned 51% interest in the project with the right to earn up to a 60% interest through the delivery of a pre-feasibility level study by April 2025.
