Aurcana Adopts Shareholder Rights Plan
VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 21, 2013) - Aurcana Corporation ("Aurcana" or the "Company") (TSX VENTURE:AUN)(AUNFD) is pleased to announce that the Company's Board of Directors (the "Board") has adopted a Shareholder Rights Plan (the "Rights Plan"), effective May 16, 2013 (the "Effective Date").
The Rights Plan was not adopted by the Board in response to, or in anticipation of, any offer or take-over bid and is not intended to prevent a take-over bid. The Rights Plan is subject to the approval of the TSX Venture Exchange and to the approval of a majority of shareholders voting at the Company's Annual and Special Meeting to be held on June 25, 2013. If the Rights Plan is not ratified by the shareholders, the Rights Plan and any Rights (defined below) issued pursuant to it will terminate and cease to be effective at that time. If the Rights Plan is ratified, it will continue in effect until the third annual meeting of shareholders thereafter.
The fundamental objectives of the Rights Plan are to provide adequate time for the Board and shareholders to assess an unsolicited take-over bid for the Company, to provide the Board with sufficient time to explore and develop alternatives for maximizing shareholder value if a take-over bid is made, and to provide shareholders with an equal opportunity to participate in a take-over bid.
To implement the Rights Plan, the Board authorized the issue, effective the Effective Date, of one right to purchase a common share (a "Right") in respect of each common share of the Company outstanding to holders of record on the Effective Date. One Right will also be issued in conjunction with each common share of the Company issued while the Rights Plan is in effect. The Rights will be evidenced by certificates for common shares and will not be transferable separately from the common shares.
The Rights Plan encourages a potential acquiror who makes a take-over bid to proceed either by way of a "Permitted Bid" or with the concurrence of the Board. A Permitted Bid is a bid made by way of a take-over bid circular to all holders of the Company's common shares which is open for acceptance for not less than 60 days. If at end of 60 days at least 50% of the outstanding shares, other than those owned by the offeror and certain related parties, have been tendered, the offeror may take up and pay for the shares but must extend the bid for a further 10 days to allow other shareholders to tender. If a take-over bid fails to meet these minimum standards of the Rights Plan and is not waived by the Board, each Right would, upon exercise, entitle a Rights holder, other than the acquiror and certain related parties of the acquiror, to purchase additional common shares at a significant discount to market, thus exposing the acquiror to a substantial dilution of its holding.
A copy of the Rights Plan will be available on SEDAR at http://www.sedar.com.
About Aurcana Corporation
La Negra Mine current installed capacity is 3,000tpd.
La Negra has a NI 43-101 M&I resource of 115.1 mm oz silver (at a grade of 131.3g/t), 1,418.7 mm lbs Zn (at a grade of 2.36%), 539.5 mm lbs Pb (at a grade of 0.91%) and 269.5 mm lbs Cu (at a grade of 0.49%) and an Inferred Resource of 56.5 mm oz silver (at a grade of 126.1g/t), 657.4 mm lbs Zn (at a grade of 2.14%), 263.0 mm lbs. Pb (at a grade of 0.88%) and 132.3 mm lbs Cu (at a grade of 0.42%).
The Shafter Mine mill was commissioned on April 1, 2012 and has started production in late Q4 2012. The Shafter Silver Mine is scheduled to produce 3.8 million ounces of silver over 12 months when is operating at 1,500tpd capacity.
Shafter has a NI 43-101 M&I Resource of 23.9 mm oz of silver (at a grade of 267.1 g/t) and an Inferred Resource of 22.79 mm oz of silver (at a grade of 327.2 g/t).
(All National Instrument 43-101 technical reserve reports can be found on SEDAR at: http://www.sedar.com)
Aurcana continues to focus on its future growth
Corporate
The Company's shares are also traded in the United States on OTCQX under the symbol "AUNFD". Investors can find current financial disclosure and Real-Time Level 2 quotes for the Company on www.otcqx.com and www.otcmarkets.com.
ON BEHALF OF THE BOARD OF DIRECTORS OF AURCANA CORPORATION
"Lenic Rodriguez", President & CEO
Contacts:
Aurcana Corporation
Lenic Rodriguez
President & CEO
(604) 331-9333 or Toll Free: (866) 532-9333
Aurcana Corporation
Catalin Chiloflischi
Corporate Communications Director
(604) 331-9333 or Toll Free: (866) 532-9333
(604) 633-9179 (FAX)
ir@aurcana.com
http://www.aurcana.com
http://finance.yahoo.com/news/aurcana-adopts-shareholder-rights-plan-230000489.html
Dan  |
