THUNDER BAY, ONTARIO--(Marketwired - Sept. 6, 2016) - SOURCE EXPLORATION CORP. (the "Company" or "Source") (TSX VENTURE:SOP) wishes to announce that it intends to proceed with a consolidation of its issued and outstanding common shares ("Common Shares") on the basis of one (1) post-consolidation Common Share for every ten (10) pre-consolidation Common Shares (the "Consolidation"). The Consolidation was previously approved by the shareholders of the Company at an annual and special meeting of the shareholders of the Company held on August 15, 2016, and has been approved by the TSX Venture Exchange (the "Exchange").
Currently, a total of 87,643,734 Common Shares are issued and outstanding. Accordingly, if the Consolidation is implemented, a total of approximately 8,764,373 post-Consolidation Common Shares would be issued and outstanding, assuming there are no other changes in the issued capital of the Company. Any resulting fractional Common Share that is held by a holder of Common Shares will be cancelled, and the aggregate number of Common Shares held by such holder will be rounded down to the nearest whole number of Common Shares. The exercise price and the number of Common Shares issuable under the Company's outstanding options will also be proportionately adjusted upon Consolidation.
A letter of transmittal will be sent to registered shareholders providing instructions to surrender the certificates evidencing their Common Shares in exchange for replacement certificates representing the number of Common Shares to which they are entitled as a result of the Consolidation. Until surrendered, each certificate representing Common Shares prior to Consolidation will be deemed for all purposes to represent the number of Common Shares to which the holder thereof is entitled as a result of the Consolidation.
The Board of Directors believes that the proposed Consolidation will better position the Company to access the capital markets should further funds be required.
There is no name change in conjunction with the Consolidation, and the Company's trading symbol on the Exchange will remain the same.
Source expects its post-Consolidation Common Shares to commence trading on the Exchange at the open of markets on September 9, 2016.
About Source Exploration
Source Exploration is a Canadian based mineral exploration company committed to building long-term value through ongoing discoveries and strategic acquisitions of prospective precious metals deposits in Mexico. Source is exploring the Las Minas Project, which is located in the core of the Las Minas district in the Veracruz State, Mexico. The district is host to one of the largest under explored skarn systems known in Mexico and has a strong production history that dates back to the Aztec era.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION: This news release includes certain information that may constitute "forward-looking information" under applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements about the completion of the Consolidation, the ability of the Company to access capital and the commencement of trading of the post-Consolidation Common Shares on the Exchange. Forward-looking information is necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information, including the risks identified in the Company's disclosure documents available at www.sedar.com. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. All forward-looking information contained in this press release is given as of the date hereof and is based upon the opinions and estimates of management and information available to management as at the date hereof. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
Neither the Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this release.