TORONTO, ONTARIO--(Marketwired - Sept. 6, 2016) -
NOT FOR DISTRIBUTION TO US NEWSWIRES OR DISSEMINATION IN THE UNITED STATES
Morumbi Resources Inc. (the "Company" or "Morumbi") (TSX VENTURE:MOC) is pleased to announce that it is in advanced discussions with a third party with respect to a potential material acquisition (the "Potential Acquisition"). In order to finance the Potential Acquisition and provide working capital, the Company anticipates that it will complete an equity financing concurrently with the Potential Acquisition (the "Offering").
The Company has completed environmental and legal due diligence in respect of the Potential Acquisition, with the majority of the definitive documentation completed at this point in time.
Completion of the Potential Acquisition is subject to a number of conditions including completion and execution of all definitive documentation, completion of the Offering, approval of the board of directors of Morumbi, and receipt of all regulatory and other third party approvals, including the approval of the TSX Venture Exchange.
The Company will provide a further update regarding the Potential Acquisition if definitive documentation is executed, or if a definitive agreement is not reached.
Morumbi has retained Dundee Securities Ltd. as its financing agent and Bennett Jones LLP as its legal counsel.
About Morumbi Resources Inc.
Morumbi is a public company historically focused on evaluating resource opportunities. The Company is currently evaluating producing or advanced development stage mineral resource opportunities principally in Latin America. It also has a legacy light oil property in northwest Alberta. The Company trades on the TSX Venture Exchange under the symbol "MOC".
Cautionary Notice Regarding Forward-Looking Information
This news release contains certain forward-looking statements or information ("forward-looking statements") as defined by applicable securities laws that involve substantial known and unknown risks and uncertainties, many of which are beyond the Company's control, including risks relating to the ability of the Company to complete and execute definitive documentation with respect to the Potential Acquisition; the ability of the company to complete the Offering; the ability of the Company to complete the Potential Acquisition and related integration risks, the ability of the Company to obtain the necessary regulatory and other third party approvals to complete the Potential Acquisition and Offering (including the approval of the TSX Venture Exchange); fluctuations in commodity prices, foreign exchange or interest rates; changes in general global economic conditions; increased competition; the availability of qualified operating or management personnel; changes in laws and regulations including, without limitation, the adoption of new environmental and tax laws and regulations and changes in how they are interpreted and enforced; and stock market volatility. The Company cautions that the foregoing list of assumptions, risks and uncertainties is not exhaustive. As such, undue reliance should not be placed on forward-looking statements. There is no assurance that the Potential Acquisition and Offering or any other acquisition will be completed in the near term or at all. The forward-looking statements contained in this news release speak only as of the date hereof and the Company does not assume any obligation to publicly update or revise them to reflect new events or circumstances, except as may be required pursuant to applicable securities laws.