REG - Galileo Resources - Acquisition of 29% shareholding in BCV

Galileo ResourcesAnnouncement

03/10/2022 15:00

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RNS Number : 5999B  Galileo Resources PLC  03 October 2022

 

For immediate release

 

03 October 2022

Galileo Resources Plc

("Galileo" or "the Company")

 

Update on acquisition of a further 29% shareholding in

Lithium & Gold Projects, Zimbabwe

 

Galileo Resources plc ("Galileo "or the "Company") further to its announcement
of 10 August 2022 is pleased to announce that all conditions have been met in
relation to the agreement to acquire a 29% shareholding in BC Ventures Limited
(the "Share Acquisition"); accordingly the Company is issuing 50,000,000
Galileo Resources plc shares at a price of 1.2pence per share being the
consideration shares due in relation to the Share Acquisition (the
"Consideration Shares"). As a result, Galileo will have an interest of 29% in
BC Venturers alongside an option to acquire a further 51% interest through the
Company spending $1.5million on exploration and evaluation of the Projects by
21 January 2024. BC Ventures is the owner of a highly prospective lithium
project in Southwest Zimbabwe (the "Kamativi Lithium Project") and two gold
licenses (the "Bulawayo Gold Project") close to Bulawayo (the "Projects")
through its wholly owned Zimbabwe subsidiary Sinamatella Investments (Private)
Limited, as more fully detailed in the original announcement of 7 March 2022.

 

The Consideration Shares are being issued to African Mineral Resources Ltd, a
company controlled by Fergus Kynaston Forbes, which will own 50,000,000
Ordinary Shares in the Company being 4.3 % of the Company's shares as enlarged
by the issue of the Consideration Shares.

 

The Consideration Shares are subject to the following lockup and orderly
market arrangements and cannot be sold during the lockup periods. During the
orderly market period the Consideration Shares shall first be offered for sale
by Galileo's company broker at a price no lower than the Galileo Shares have
traded in the previous five days (the "Nominated Price") and if not sold by
Galileo's company broker within 30 days may be sold via another broker at the
Nominated Price or higher Percentage of Option Considerations Shares:

 

       Lock Up Period  Orderly Market Period
 100%  12 months       12 months

 

Application to trading on AIM: Application will be made to the London Stock
Exchange for a total of 50,000,000 new Galileo Shares to be admitted to
trading on AIM which rank pari passu to the existing ordinary shares in the
Company. It is expected that Admission will become effective and that dealings
in the new Galileo Shares will commence at 8.00 a.m. on 10 October 2022.

 

On Admission, the abovementioned figure of 1,160,688,453 Ordinary Shares (the
"Enlarged Share Capital") may be used by shareholders in the Company as the
denominator for the calculations by which they will determine if they are
required to notify their interest in, or a change to their interest in,
Galileo under the Financial Conduct Authority's Disclosure Guidance and
Transparency Rules.

 

 

 

 

 

 

You can also follow Galileo on Twitter: @GalileoResource

 

For further information, please contact: Galileo Resources PLC

 

 Colin Bird, Chairman                       Tel +44 (0) 20 7581 4477
 Beaumont Cornish Limited - Nomad           Tel +44 (0) 20 7628 3396

 Roland Cornish/James Biddle
 Novum Securities Limited - Joint Broker    +44 (0) 20 7399 9400

 Colin Rowbury /Jon Belliss
 Shard Capital Partners LLP - Joint Broker  Tel +44 (0) 20 7186 9952

 Damon Heath

 

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the
European Union (Withdrawal) Act 2018 ("UK MAR").

 

 

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