OreCorp (ORR) - Nyanzaga Camp staff.
Nyanzaga Camp staff.
Source: OreCorp
Market Herald logo

Subscribe

Be the first with the news that moves the market
  • OreCorp’s (ORR) wholly-owned subsidiary, Solstice Minerals, raises $12 million in its initial public offering (IPO) after shareholder approval for demerger
  • OreCorp shareholders will receive one Solstice share for every 9.94 OreCorp shares held which are expected to be issued on or around April 21
  • Proceeds from the IPO, together with Solstice Minerals’ $5 million cash balance at demerger, will provide Solstice Minerals with $17 million in cash to conduct its activities
  • Solstice is working to satisfy the remaining conditions with ASX, targeting commencement of trading on May 2
  • ORR shares are steady, trading at 75 cents

OreCorp’s (ORR) wholly-owned subsidiary, Solstice Minerals, has raised $12 million in its initial public offering (IPO) after shareholder approval for demerger.

The IPO, comprising of a pro rata priority offer and shortfall order, received strong support from OreCorp shareholders and new investors, which caused the IPO to close oversubscribed.

OreCorp shareholders will receive one Solstice share for every 9.94 OreCorp shares held which are expected to be transferred under the in-specie distribution on or around April 21.

Proceeds from the IPO, together with Solstice Minerals’ $5 million cash balance at
demerger, will provide Solstice Minerals with $17 million in cash to conduct its activities.

“This is an exciting opportunity for everyone involved in transitioning Solstice Minerals into a standalone WA focussed exploration company,” OreCorp CEO and Managing Director Matthew Yates said.

Solstice Minerals has received its conditional admission letter from Australian Securities Exchange (ASX) advising that it will admit the company to the Official List of ASX, subject to satisfaction of certain conditions.

The company has also received a draft class ruling from the Australian Taxation Office (ATO) in relation to the demerger tax relief.

The final ATO ruling outlining the implications for certain shareholders as a result of the demerger is expected to be published over the coming weeks and shareholders will be advised in due course.

Currently, Solstice is working to satisfy the remaining conditions with ASX, targeting commencement of trading on May 2.

ORR shares were steady, trading at 75 cents at market close.

ORR by the numbers
More From The Market Herald
Countplus (ASX:CUP) - Incoming CEO, Hugh Humphrey

" Hugh Humphrey appointed CEO of Countplus (ASX:CUP)

Investment services company CountPlus (ASX:CUP) has appointed Hugh Humphrey as the company's CEO, effective July 1.

" ASX employee tests positive for Covid-19

The ASX says an employee has contracted Covid-19.

" ASIC launches official investigation into ASX market outage

The ASX has confirmed today it is officially under investigation from the Australian Securities and Investments…

" ASX sheds more light on last week’s market tech failure

The Australian Securities Exchange has shed some more light on the nature of last week's market…