adminNew dawn owns 85 percent of Falcon Gold and wants to increase the shareholding to 100 percent.
The minority shareholders in Falgold will get either cash or shares in New Dawn, which is listed on the
Toronto Stock Exchange.
New Dawn will pay more than $3.4 million for the shares.
The scheme will now be taken to the High Court in Harare for approval.
“On September 24, 2012, at a meeting of Falgold shareholders held in Harare, Zimbabwe, the Falgold shareholders who attended the meeting voted unanimously to approve the scheme, which will bind all Falgold minority shareholders, subject to sanctioning by the High Court of Zimbabwe. A hearing will be held in the High Court of Zimbabwe on October 3, 2012 to consider sanctioning of the Scheme,” New Dawn said in a statement.
Minority shareholders hold 17,049,000 shares in Falgold.
Under the Scheme, all of the Falgold ordinary shares will be acquired by New Dawn, in exchange for either one New Dawn common share for every five Falgold shares, or US$0.20 for every one Falgold share.
If a Falgold shareholder does not make an election regarding the form of consideration that they wish to receive, they will be paid cash for their Falgold shares.
derick.khumalo
Online Reporter