Joey Walmsley's Profile
Joey Walmsley's Posts
I apologize to everyone because yes the $400K would be paid by Premium, if not approved and the 4.2M would be warrants for .05 for the quarter of the company. I think that legally that the first scenario will be the final outcome, but that is just my opinion for what it is worth......
The Purchaser would transfer the Shares to Premium in exchange for 4,200,000 post-Consolidation common share purchase warrants (the “Warrants”) of Premium and a cash payment of $400,000.
Who is paying what, please read carefully.
Someone who was previously close to the company again saved their existenace with a cash infusion at the last moment to keep hopes alive.
A quarter of the company now for $200K or $400K if denied by the exchange and the OPTION to by a quarter of the company post consolidation for .05 a share which is an additional $210K.
My only question is whether we get only $200K because they have already given the company $200K basically in good faith to keep the company on life support till a further financing can be completed.
August 30, 2013, Vancouver, British Columbia – Premium Exploration Inc. (TSXV: PEM; OTCQX: PMMEF) (“Premium” or the “Company”) announces that it has entered into a binding letter agreement dated August 29, 2013 (the “Letter Agreement”) with an arms’ length party (the “Purchaser”) pursuant to which Premium has agreed to sell and the Purchaser has agreed to acquire a 24.9% interest in Premium’s wholly owned U.S. subsidiary, Premium Exploration USA Inc. (“PEM USA”) through the issuance of 249 common shares (the “Shares”) in the capital of PEM USA to the Purchaser, in exchange for an immediate advance of $200,000 (the “Funds”) (the “Sale Transaction”).
Funny how the number of shares is identical to the % if you remove the decimal. Could it be that this was just a way to quickly get the money to Premium so they didn't lose the property that they still feel may have a future?
This does not mean that they will not immediately do a 20/1 but a vote will allow such a move. Would you rather have a Logan situation were the company did two 10/1's in back to back years??????
Read carefully before you sell........
Premium will be seeking shareholder approval to authorize, and approve the implementation by Premium’s Board of Directors of a consolidation of all of its Common Shares on a ratio of Twenty (20) pre-consolidation Common Shares for every One (1) post-consolidation Common Share (the “Consolidation Ratio“).
Shareholder approval of the Consolidation will authorize Premium’s Board of Directors to determine the Consolidation Ratio and to implement the Consolidation at any time within twelve months of such shareholder approval.
The BOD will determine the ratio, they are not saying for sure it will be 20/1 but they will not have to go back to shareholders if they decide on 10/1 or something else. They are asking for what they feel will be the absolute maximum that will not require another vote. They may not have to do a consolidation but is it not better to have a vote and then move forward when the time is right without any delays?
Have a great day,