Investors are unhappy with Libero Copper & Gold (TSXV: LBC) this morning, following the revelation that the company will be conducting a share consolidation, despite having an outstanding at-the-market financing.
The share consolidation will see the company reduce its shares outstanding at a rate of one post consolidation share for every ten pre-consolidation shares. The move will result in the company reducing its outstanding common shares from 174.7 million to just 17.4 million. The move is being made in an affort to “make the company’s securities more attractive to investors.”
A date for the consolidation to take effect was not provided, with Libero instead opting to state that it intends to close on the consolidation “as soon as practicable,” following approval from the Venture.
The reverse split follows the company issuing 13.4 million shares under an at-the-market offering that raised the company gross proceeds of $280,482.
READ: Libero Copper Walks From Copper-Gold Porphyry Project In Argentina Over Cost Complaints
Libero also highlighted this morning that Bill Bennett has resigned from the board of directors, whom they state was “critical” to their projects in British Columbia for his knowledge on government and indigenous relations.
Libero Copper last traded at $0.04 on the TSX Venture.
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