RE: RNS12 Mar 2025 08:02
Jiangxi currently owns 208,616,587 Ordinary Shares in SolGold, representing 6.95% of the Company's issued share capital. Following completion of the Investment, Jiangxi will own 365,757,587 Ordinary Shares, representing 12.19% of the Company's issued share capital.
Until March 2027, Jiangxi may provide SolGold with technical consulting services as required, subject to mutual agreement, with respect to the Company's world-class Cascabel Project in Ecuador. Jiangxi will not charge the Company, unless otherwise agreed by the parties, for any of its costs associated with this technical cooperation.
Chief Executive Officer, Dan Vujcic commented:
"As we endeavour to re-shape and streamline the SolGold investment proposition this investment by Jiangxi, at a substantial premium to Monday's closing price, is a powerful endorsement towards the intrinsic value embedded in SolGold.
The proceeds will materially strengthen our balance sheet and support current efforts to unlock further value for shareholders.
SolGold is very fortunate to have multiple high-quality shareholders and financiers who are willing and able to assist the Company in progressing Cascabel and its highly prospective exploration portfolio."
Closing of the Investment is subject to customary conditions precedent and receipt of regulatory approval from the relevant authorities in the People's Republic of China.