Copper Standard and Pucara Gold Finalize Strategic Merger

Copper Standard Resources Inc. and Pucara Gold Ltd. have successfully completed their previously announced merger, marking a significant step in the consolidation of mineral exploration companies in Canada. This merger is expected to enhance Copper Standard's portfolio and expand its operational capabilities in the mining sector.

Key Takeaways

• Copper Standard acquired all outstanding shares of Pucara Gold through a court-approved plan of arrangement.
• Former Pucara shareholders received 0.10 Copper Standard shares for each Pucara share held.
• A total of 7,659,195 Copper Shares were issued to former Pucara shareholders.
• Pucara Shares will be delisted from the TSX Venture Exchange following the merger.

Details of the Merger

The merger was executed through a court-approved plan of arrangement, allowing Copper Standard to acquire all issued and outstanding common shares of Pucara Gold that were not already owned by them. Under the terms of the arrangement, former shareholders of Pucara received 0.10 of a Copper Standard common share for each Pucara share they held. This exchange resulted in the issuance of approximately 7.66 million Copper Shares to Pucara's former shareholders.

Implications for Shareholders

The completion of this merger has several implications for shareholders:

• Share Exchange: Former Pucara shareholders will now hold Copper Standard shares, potentially increasing their investment value as the company grows.
• Warrants and Options: Outstanding options and warrants of Pucara have been converted to similar securities for Copper Shares, maintaining the investment structure for former Pucara investors.

Future Outlook

With the merger finalized, Copper Standard is poised to enhance its exploration and development capabilities. The company is particularly focused on its Colpayoc Copper-Gold Property in Peru, which is believed to have significant untapped potential. This property is similar to other world-class deposits in the Yanacocha District, known for its rich mineralization.

Delisting of Pucara Shares

Following the completion of the merger, Pucara Shares are expected to be delisted from the TSX Venture Exchange. The company will also apply to cease being a reporting issuer, streamlining its operations under the Copper Standard umbrella. This move is anticipated to simplify regulatory compliance and focus resources on exploration and development activities.

About Copper Standard

Copper Standard is dedicated to the acquisition, exploration, and development of mineral interests, primarily focusing on copper and gold projects. The company is committed to sustainable practices and responsible development within the mineral sector, continuously evaluating new opportunities for growth.

About Pucara Gold

Pucara Gold is a junior exploration company with a focus on discovering and advancing precious metals deposits in Peru. The company has a diverse portfolio of projects, positioning it well within the resource-rich landscape of the region.

The successful merger between Copper Standard and Pucara Gold represents a strategic consolidation in the mining sector, aimed at enhancing shareholder value and expanding operational capabilities in mineral exploration and development.

Sources

• Copper Standard and Pucara Gold Complete Previously Announced Merger, by @newsfile, CEO.CA.
• Copper Standard and Pucara Gold Complete Previously Announced Merger, Yahoo Finance.