Last checked at 4 May 2021 13:45
04 May 2021
Power Metal Resources PLC
("Power Metal" or the "Company")
New Resource Project Incubator Subsidiary
Power Metal Resources PLC (LON:POW) the AIM listed metals exploration and development company is pleased to announce it has established a new 100% owned and subsidiary 'incubator' business: Power Capital Investments Ltd ("Power Capital"). Power Capital will initially be fully funded by Power Metal.
Power Capital will actively identify small, entrepreneurial business ventures with significant growth potential in the junior resource space and provide support with regard to business management, project development and corporate development to enable them to scale rapidly and realise their potential. Power Capital may also provide financial support.
Power Capital will look to develop these fledgling, high-potential early stage ventures, to the point of sale, public listing, or incorporation into the Company's portfolio, dependent on a set of key performance indicators to be established.
As a major shareholder in each selected business, Power Capital, and thereby Power Metal, has the opportunity for significant capital appreciation from each successful venture together with a self-created pipeline of new resource projects for operational development by Power Metal.
Power Capital is the next step in Power Metal's quest to build a strong, diversified and successful company and to create significant value for its shareholders.
Paul Johnson, Chief Executive Officer of Power Metal Resources commented:
"We are delighted to announce the establishment of a new 'incubator' subsidiary business, Power Capital Investments Ltd.
We are aware that across the globe, there are numerous opportunities with huge potential for discovery that can struggle to get past the initial phase of conception, due to a combination of funding restrictions and lack of managerial resources to apply to corporate development. Power Capital provides our highly experienced team at Power Metal the chance to access, screen, and select only the very best of these opportunities, and to nurture the growth of these fledgling companies in exchange for equity.
It is expected that over time, Power Capital will further strengthen Power Metal's portfolio of projects and create further value for our shareholders, as successful ventures are either incorporated into our portfolio, sold, or listed publicly."
This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with the Company's obligations under Article 17 of MAR.
For further information please visit https://www.powermetalresources.com/ or contact:
Power Metal Resources plc | |
Paul Johnson (Chief Executive Officer) | +44 (0) 7766 465 617 |
SP Angel Corporate Finance (Nomad and Joint Broker) | |
Ewan Leggat/Charlie Bouverat | +44 (0) 20 3470 0470 |
SI Capital Limited (Joint Broker) | |
Nick Emerson | +44 (0) 1483 413 500 |
First Equity Limited (Joint Broker) | |
David Cockbill/Jason Robertson | +44 (0) 20 7330 1883 |
Notes to Editors:
Power Metal Resources plc (LON:POW) is an AIM listed metals exploration and development company seeking a large scale metal discovery.
The Company has a global portfolio of project interests including precious metal exploration in North America and Australia together with base and strategic metal exploration in Africa. Project interests range from early stage greenfield exploration to later stage prospects currently subject to drill programmes.
The Board and its team of advisors have expertise in project generation, exploration and development and have identified an opportunity to utilise the Company's position to become a leader in the London market for investors wishing to gain exposure to proactive global metals exploration.