VANCOUVER, Dec. 2, 2011 /PRNewswire/ - Radius Gold Inc.
(TSX-V: RDU) is pleased to announce that Radius shareholders have
approved the plan of arrangement involving the spin-out of Radius's
assets in the Yukon to Rackla
Metals Inc. ("Rackla") as announced by Radius on May 27 and July 27,
2011 (the "Transaction"). The application to the
British Columbia Supreme Court for
the final order is expected to take place on December 5, 2011 and the Transaction is expected
to close on December 8, 2011. A
summary of the key dates for the Transaction are outlined below,
subject to final approval from the TSX Venture Exchange (the
"TSX-V"):
- Monday, December 5, 2011 - the
last day to acquire Radius shares on the TSX-V and still receive
Rackla shares and Rackla warrants upon closing of the
Transaction.
- Thursday, December 8, 2011 - the
Transaction closes. Radius shareholders of record as at
12:01 a.m. on December 8, 2011 will be entitled to receive
Rackla shares and Rackla warrants as set out below.
- Friday, December 9, 2011 - the
trading of Rackla shares and Rackla warrants is expected to
commence on the TSX-V under the trading symbols RAK and RAK.WT,
respectively.
Pursuant to the Transaction, Radius shareholders
of record reflected as at 12:01 a.m.
on December 8, 2011 on the register
of shareholders maintained by Radius's registrar and transfer
agent, will receive one Rackla share and one Rackla warrant in
exchange for every three Radius shares held on said date.
About Radius
Radius has been exploring for gold in
Latin America for nearly a
decade. It has assembled interests in a portfolio of
promising gold projects throughout the region, including carried
stakes in two small-scale developing gold projects, one in
Guatemala being developed by
Dan Kappes of Kappes Cassiday and
one in Nicaragua, and a number of
100% owned exploration plays, including the HB property in
Guatemala. The Company also
holds a large land position in the Yukon
Territory which is the subject of the proposed spin out.
ON BEHALF OF THE BOARD
"Simon Ridgway"
Simon Ridgway,
President and CEO
Investor relations: Jaclyn
Ruptash / Ralph Rushton
Symbol: TSXV-RDU; OTCBB-RDUFF
Shares Issued: 86.6-million
Neither the TSX Venture Exchange nor the
Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy
or accuracy of this release.
Forward-Looking Statement
This news release includes certain
forward-looking statements or information that involve inherent
risk and uncertainty affecting the business of Radius. All
statements other than statements of historical fact included in
this news release, including, without limitation, statements
regarding plans for the completion of the proposed Transaction, the
structure of the plan of arrangement and other future plans and
objectives of Radius are forward-looking statements that involve
various risks and uncertainties. There can be no assurance that
such statements will prove to be accurate and actual results and
future events could differ materially from those anticipated in
such statements. Important factors that could cause actual results
to differ materially from Radius' plans or expectations include
Radius' ability to obtain approval of the TSX Venture Exchange, the
Supreme Court of British Columbia
and general economic, market or business conditions, regulatory
changes and other risks detailed herein and from time to time in
the filings made by Radius. with securities regulators.
SOURCE Radius Gold Inc.
