The plan to amalgamate and monetise the non-core assets of Hummingbird Resources PLC (LON:HUM) with those of privately-held Kola Gold took a big step forward this week as Aim-traded investment vehicle Glenwick PLC (LON:GWIK) formally notified the stock exchange of plans to acquire the new vehicle which holds the assets, Cora Gold.
Under the terms of the deal, Glenwick will offer 91% of its enlarged share capital to acquire 100% of Cora Gold. Glenwick has already raised £130,000 to support the transaction from Paternoster Resources PLC (LON:PRS).
Paternoster shares were unchanged at 0.2p per share as it announced its new 10.6% holding in the enlarged issued capital of Glenwick.
But Cora’s 10 gold exploration licenses in Mali and Senegal won’t be its only asset. It also holds £1.1 mln of pre-IPO convertible loan notes in i3 Energy Limited, an oil and gas company with assets in the North Sea that plans to list shortly.
Well-known mining small-cap expert Amanda van Dyke sits on the boards of both Paternoster and Glenwick, and also manages funds at Peterhouse, which acts as broker to Glenwick.
Shares in Hummingbird rose 1.5% to 25.38p on the news.