Mindoro Resources Ltd.

Mindoro Resources Ltd.

May 03, 2007 18:46 ET

Mindoro Adopts Shareholder Rights Plan

EDMONTON, ALBERTA--(CCNMatthews - May 3, 2007) - Mindoro Resources Ltd.(TSX VENTURE:MIO)(FRANKFURT:WKN 906167) today announced that the Board of Directors of Mindoro Resources Ltd. (the "Company") adopted a Shareholder Rights Plan to ensure fair and equal treatment of all shareholders in the event of an unsolicited take-over bid for the common shares of the Company and also to allow both the shareholders and the Board of Directors adequate time to assess any such bid. The Company is not aware of any take-over bid for the Company that has been made or is contemplated.

To implement the Plan, the Board of Directors of the Company authorized the issue of one Right in respect of each common share of the Company outstanding to holders of record on May 2, 2007, as well as one Right in respect of each common share issued after the record date. Initially, the Rights will attach to and trade with the common shares and be represented by certificates representing common shares.

The Plan is similar to shareholder rights plans adopted by a number of other Canadian companies. The Plan is not intended to block take-over bids. The Plan includes "Permitted Bid" provisions which do not invoke the dilutive effects of the Plan if a take-over bid is made by way of a take-over bid circular to all shareholders that remains open for a minimum of 60 days and is accepted by not less than 50 percent of the common shares held by independent shareholders. The Plan will be invoked by an acquisition, other than pursuant to a Permitted Bid, of 20% or more of the outstanding common shares of the Company or the commencement of a take-over bid that is not a Permitted Bid, in which case the Rights separate from the common shares and will entitle holders (other than the acquiring person or group persons) to acquire shares of the Company at a 50% discount to the prevailing market price of the shares.

Although the Rights Plan is effective immediately, the Company intends to submit the Plan to the shareholders of the Company for confirmation at the Company's next annual general meeting of shareholders expected to be held in on June 21, 2007. If confirmed by the shareholders at this meeting, the Plan will be effective until the annual general meeting of shareholders to be held in 2010 and, if reconfirmed by shareholders at that meeting, will continue in effect until the annual general meeting of shareholders to be held in 2013.


Mindoro is a Tier 1 Issuer trading on the TSX Venture Exchange (MIO) and the Frankfurt Stock Exchange (WKN 906167). The Company is carrying out three major drill programs: resource delineation drilling on the Kay Tanda epithermal gold-silver prospect, reconnaissance drilling on the Calo porphyry copper-gold prospect, and advancing a significant nickel laterite prospect towards production; in addition to holding another 22 identified porphyry copper-gold prospects in the Philippines.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Mindoro Resources Ltd. (Head Office)
    Penny Gould
    Executive Vice President
    (780) 413-8187
    Email: penny@mindoro.com
    Website: www.mindoro.com
    Ascenta Capital Partners Inc.
    Investor Relations-Canada
    Trent Dahl
    (604) 628-5800 or Toll Free: 1-866-684-4209 ext. 228
    Email: info@mindoro.com
    Argentuminvest GmbH
    Investor Relations-Europe
    Richard Mayr
    +49.9421.785255 (FAX)
    Email: info@argentuminvest.com