Southern Gold Limited (“Southern Gold” or the “Company)” is pleased to announce a Share Sale Facility for holders of less than a marketable parcel of ordinary shares in the Company (“Facility”).
The Company is providing the Facility so that holders of less than a marketable parcel can sell their shares without incurring any brokerage or handling costs that could otherwise make a sale of their shares uneconomic and/or difficult. The Company will endeavour to obtain the highest available price for the shares, and will organise remittance of sale proceeds for those shareholders who participate in the Facility.
By making this Facility available the Company also expects to reduce the administrative costs associated with maintaining a large number of small holdings.
The ASX Listing Rules defines a “Marketable Parcel” as those holdings of Ordinary Shares with a market value of $500 or more. As at market close on the 5 April 2017 (“Record Date”) a parcel of shares in the Company is less than a Marketable Parcel for any shareholding of 1,851 ordinary shares or less, based on the closing price of $0.27 per share.
The total of all holdings with less than a Marketable Parcel, as at the Record Date, was 626,421 ordinary shares of the Company, held by 1,153 shareholders (“Sale Shares”).
Holders of Unmarketable Parcels can either:
1. Retain their shareholding by:
a. Signing and returning the Notice of Retention of Shares Form accompanying the letter to shareholders by 26 May 2017 (“Closing Date”); or
b. If they have multiple holdings, consolidate these under a single HIN/SRN such that the combined shareholding at the Closing Date is greater than $500; or
c. Purchasing additional shares under the same HIN/SRN such that their shareholding at the Closing Date is greater than $500.
2. Sell their shareholding by:
No further action is necessary. If their shareholding at the Closing Date is less than $500, their shares will be sold and the proceeds sent to them.
A summary of key dates in relation to the Facility is as follows:
Southern Gold reserves the right to amend this timetable subject to the ASX Listing Rules and the terms of the Company’s Constitution.
Attached is a copy of the letter sent to all shareholders holding less than a Marketable Parcel of the Company’s shares as at the Record Date.