MINVEN GOLD AND UNITED COIN MINES EXECUTE DEFINITIVE ARRANGEMENT AGREEMENT PLAN OF ARRANGEMENT
MINVEN GOLD AND UNITED COIN MINES EXECUTE DEFINITIVE ARRANGEMENT
AGREEMENT PLAN OF ARRANGEMENT
DENVER, Nov. 6 /PRNewswire/ -- MinVen Gold Corp. (AMEX; Toronto: MVG) of Denver, and United Coin Mines Ltd. (Toronto: UCM) of Toronto, Ontario today jointly announce that, following board approval of each of the two companies, they have signed a definitive agreement providing for the merger of United Coin into MinVen under a Plan of Arrangement.
Under the terms of the agreement, holders of United Coin common shares will be entitled to receive one MinVen common share for every two United Coin common shares issued and outstanding. In addition, MinVen will issue a warrant to United Coin shareholders to purchase one additional MinVen common share for every five common share(s) of United Coin issued and outstanding as of the date of the agreement. The warrants will be exercisable at a price of US$1.00 for a period expiring two years after the closing date of the merger.
The merger is subject to certain conditions, including approval of United Coin's shareholders (a meeting of those shareholders will be held in December 1991), as well as a condition that the indebtedness of the merging corporations is reorganized to their satisfaction. The merger is also subject to the receipt of the required stock exchange approvals.
MinVen Gold is a Denver-based mining company with a 100 percent interest in two gold mines and joint venture interests in two other mines, including its joint venture interest in the Golden Reward Mine located near Lead, S.D. The remaining interests in the Golden Reward Mine are held by United Coin, and its subsidiary, Moruya. Successful completion of this transaction will add approximately 40,000 ounces of gold to MinVen's 1992 production. MinVen expects to produce approximately 90,000 ounces of gold during 1991.
MinVen's shares are traded on the American, Toronto and Vancouver stock exchanges under the symbol "MVG," and United Coin's shares are traded on the Toronto Stock Exchange under the symbol "UCM."
For further information relating to the merger, contact Alan R. Bell, President of MinVen, at 303-980-5615.
/CONTACT: Alan R. Bell of MinVen Gold, 303-980-5615/
(MVG) CO: MinVen Gold Corp.; United Coin Mines Ltd. ST: Colorado IN: MNG SU: TNM BB -- DV011 -- 1980 11/06/91 19:48 EST