22 Mar 2010 09:30
Beacon Hill Resources plc / Ticker: BHR / Index: AIM / Sector: Mining
22 March 2010
Beacon Hill Resources plc ('Beacon Hill' or 'the Company')
Proposed Share Consolidation and Notice of General Meeting
Beacon Hill Resources plc (AIM:BHR), the AIM listed resource company, announces it proposes to undertake a 25 to 1 share consolidation. A circular detailing these proposed resolutions, and convening a General Meeting of the Company for 10.00 a.m. on 7 April 2010 at the offices of Memery Crystal LLP, 44 Southampton Buildings, London WC2A 1AP has been sent to shareholders today.
Beacon Hill Executive Chairman Justin Lewis said, "The Board believes that a share consolidation at this point in the Company's development would be beneficial to our current shareholders. It should assist in reducing the volatility in our share price and reduce the bid/offer spread, which will be an attraction for new investors."
Share Consolidation
The Company proposes to undertake a share consolidation of every 25 of its existing ordinary shares of 0.01 pence each in the capital of the Company ('the Existing Ordinary Shares') into one new ordinary share, of 0.25p each ('the New Ordinary Shares').
The Board considers that the Share Consolidation may be beneficial as it will reduce the size of the issued ordinary share capital of the Company, thereby making it more manageable, whilst assisting to decrease the bid/offer spread quoted on AIM and PLUS thus improving the attractiveness of the Company's shares to new investors.
The Company currently has an issued ordinary share capital of £646,466.70 divided into 6,464,667,000 Existing Ordinary Shares, with a mid-market value of 0.32 pence per Existing Ordinary Share as at 19 March 2010, being the latest practicable date prior to this announcement. Following the Share Consolidation, and assuming no further issues of Existing Ordinary Shares prior to such time, the issued ordinary share capital of the Company shall remain as £646,466.70 but will be divided into 258,586,680 New Ordinary Shares.
Authorities
In addition, the Board proposes to renew and significantly increase its authorities to allot relevant securities on a non pre-emptive basis. It is therefore proposed that the Directors' be granted general authority to allot relevant securities and the disapply statutory pre-emption rights in respect of shares with an aggregate nominal value of £1,250,000 until the earliest of the annual general meeting of the Company to be held in 2011 or the date falling 15 months from the date of the passing of resolutions 2 and 3 as set out in the Notice of General Meeting which has been sent to shareholders today.
Timetable of Events:
| Latest time and date for receipt of Forms of Proxy | 10.00 a.m., 6 April 2010 |
| General Meeting | 10.00 a.m., 7 April 2010 |
| Latest time and date of dealings in Existing Ordinary Shares | 4.30 p.m., 7 April 2010 |
| Record time and date for the Share Consolidation | 5.00 p.m., 7 April 2010 |
| Admission and first day of dealings in New Ordinary Shares | 8.00 a.m., 8 April 2010 |
| New Ordinary Shares credited to CREST stock accounts in uncertificated form | 8 April 2010 |
| Despatch of definitive share certificates for New Ordinary Shares | By 16 April 2010 |
**ENDS**
Further Information:
For further information on the Company or a copy of the shareholder circular, please visit: www.bhrplc.com or contact:
| Justin Lewis | Chairman, Beacon Hill Resources Plc | +61 (0) 3 8637 1540 +61 439 162369 |
| William Vandyk | Astaire Securities Plc | +44 (0) 20 7448 4400
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| Hugo de Salis | St Brides Media & Finance Ltd | +44 (0) 20 7236 1177
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| Susie Callear | St Brides Media & Finance Ltd | +44 (0) 20 7236 1177
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