Fredonia Mining Inc. Implements Strategic Share Consolidation

Fredonia Mining Inc. Implements Share Consolidation

Fredonia Mining Inc. (TSXV: FRED) recently took a significant step in its corporate strategy by announcing a share consolidation process. This decision, backed by the Company’s Board of Directors, allows for a restructuring of its capital to better position itself for future growth.

Details of the Consolidation Process

The consolidation will occur at a ratio of five pre-consolidated common shares for every one post-consolidated common share. This action was approved during a recent special shareholder meeting, affirming the Company's direction toward enhancing long-term shareholder value.

The timeline for this consolidation is clear, with the intention to file articles of amendment soon. Post-consolidation trading is expected to start shortly after, enabling shareholders to navigate this transition smoothly.

Future Trading and CUSIP Changes

Upon completion of the consolidation, the outstanding Common Shares will be notably reduced from approximately 228 million to about 45 million. This adjustment is part of the strategy to streamline operations and present a more robust market position.

The Company is assigning new CUSIP and ISIN numbers for the common shares, which are essential for tracing and trading the updated shares in electronic systems. This change is part of the procedural transparency that Fredonia strives to maintain.

Shareholder Communication and Actions Required

Registered shareholders will receive detailed instructions from TSX Trust Company, the Company’s transfer agent. These instructions will outline how to exchange their existing share certificates for post-consolidation shares, ensuring that the transition is as seamless as possible.

This proactive measure highlights the Company’s commitment to keeping shareholders well-informed and engaged in the process.

Insider Participation and Recent Offerings

Adding to the positive sentiment, insider participation in a recent financing round showcases the leadership's confidence in the Company’s strategy. Key executives participated in the private placements that align with the Company’s growth objectives, fostering a spirit of unity and shared vision moving forward.

About Fredonia Mining Inc.

Fredonia Mining is strategically positioned with ownership of high-potential mining licenses within the Deseado Massif region of Argentina. The Company focuses on significant land holdings that suggest untapped mineral wealth, making it an attractive investment opportunity in the mining sector.

The principal projects within their portfolio, such as El Aguila and El Dorado-Monserrat, highlight the potential for substantial returns. Each project has been meticulously assessed to ensure that the Company is maintaining a focus on promising and commercially viable mining sites.

Contact Information for Queries

For those looking for further clarification or information, the Company encourages direct communication. Interested parties can contact Carlos Espinosa, Chief Financial Officer, via phone at +1-647-401-9292 or by email.

Frequently Asked Questions

What is the purpose of the share consolidation by Fredonia Mining Inc.?

The share consolidation aims to streamline the capital structure of Fredonia Mining Inc. and enhance shareholder value, making it more appealing to investors.

When will the consolidation take effect?

The company plans to file articles for the consolidation soon, with trading of post-consolidated shares expected to begin shortly thereafter.

How will existing shareholders be notified about the consolidation?

Registered shareholders will receive a letter of transmittal from TSX Trust detailing how to exchange their pre-consolidation shares for the new post-consolidation shares.

What is the new number of outstanding shares after consolidation?

After consolidation, the number of outstanding common shares will decrease to approximately 45 million from about 228 million.

What projects does Fredonia Mining Inc. own?

Fredonia Mining Inc. holds significant mining licenses in Argentina, including key projects like El Aguila and El Dorado-Monserrat, indicating substantial growth potential.

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