Concerned Creston Shareholders

July 03, 2009 09:26 ET

Concerned Creston Shareholders Oppose Private Placement

Integral Part of Tenajon Dilutive Merger and Defensive Tactic by Management to Fend off Disapproval by Creston Shareholders

TORONTO, ONTARIO--(Marketwire - July 3, 2009) - Concerned Creston Shareholders are disappointed to learn that Creston Moly Corp. ("Creston") has announced a private placement of up to 30,000,000 units at $0.10 per unit.

The issuance of up to 30,000,000 common shares and 30,000,000 warrants will further dilute Creston shareholders and is in addition to the 53,000,000 shares to be issued connection with the proposed merger with Tenajon Resources Corp. ("Tenajon").

The Concerned Shareholders believe the private placement is a defensive tactic designed to entrench management and is part of the proposed merger with Tenajon. Creston shareholders will suffer enormous dilution, and management has not called a shareholders meeting to vote on private placement or the proposed merger with Tenajon.

The Concerned Shareholders see that the private placement and the merger are linked transactions designed by management and its allies at Tenajon to avoid obtaining shareholder approval or at the shareholder meeting requisitioned by the Concerned Shareholders thwarting current shareholders opposition to the massively dilutive transactions. Together the private placement and the merger will result in the issuance of more than 66% of the currently outstanding shares.

All Creston shareholders are urged to make their displeasure known to management and to TSX Venture by e-mail, telephone call and letter.

Contact Information

  • Concerned Creston Shareholders
    Carl DiPlacido