Riverside Completes Spin-Out of Capitan Mining

Friday, August 14, 2020, 09:50:42 AM

Riverside Resources (TSXV: RRI) has completed the spin out of shares of Capitan Mining (TSXV: CAPT) as of this morning. The spin out saw 100% of the interest in the Peñoles gold-silver project placed into a new public vehicle, which expects to list on the TSX Venture by the end of the month.

Under the terms of the plan of arrangement, Riverside Resources saw its common shares delisted from the TSX Venture, with each shareholder receiving one new common share of Riverside and 0.2594 of a Capitan share for each old share held of Riverside. The new Riverside shares are listed on the TSX Venture under the same symbol, and commence trading this morning.

Capitan has received conditional approval to list its shares on the TSX Venture under the symbol “CAPT”. The firm is currently undergoing a financing at a price of $0.20 per share, for which it has raised $3.5 million currently. The financing is expected to close by August 21, with the company expected to commence trading shortly thereafter.

"We are delighted to work closely together with Alberto Orozco and the highly experienced Mexico-based technical team on the Peñoles Mining District and the launching of this new spin-out company, Capitan Mining. Riverside drilled some of the first discovery holes and are very excited for Alberto and the Capitan team to move it forward. This is a great step for our collective stakeholders to share in the asset value of future exploration and advancement at the Peñoles Project."

Riverside Resources last traded at $0.39 on the TSX Venture.

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