PERTH (miningweekly.com) – The shareholders of Brazil-focused fertiliser project developer Aguia Resources have backed a proposed listing on the TSX-V.
Aguia said the TSX-V listing would provide the company with the necessary flexibility and broader capital markets to support the company as it advanced through to the final bankable feasibility study on its Tres Estradas phosphate project, as well as the required project permitting.
Aguia shareholders also voted to consolidate the company’s outstanding shares, making the company’s capital structure and share price more "appropriate" for the TSX-V and North American investor base.
The company has more than 451.8-million shares in issue, which is considered high for a TSX-V-listed company that has less than C$70-million market capitalisation.
Under the proposed consolidation, every five existing shares will be consolidated into one share, and the value of each share should, in theory, be multiplied by five times, the company said.
The same consolidation will be applied to any outstanding options.
The consolidation will take effect on April 5.
“This is a key step in making Aguia accessible for North American investors on one of the world’s largest and most liquid global mining markets, and a market that has a large pool of investors investing in global agribusiness sector,” said Aguia executive chairperson Paul Pint.
He noted that Aguia was working towards submitting its listing statement to the TSX-V and was hoping to be trading on both exchanges in the coming weeks.