21st Dec 2007 07:00
Norseman Gold PLC21 December 2007 Norseman Gold plc ("Norseman" or the "Company") Notice of EGM Norseman Gold plc announces that it has today posted a circular convening anExtraordinary General Meeting of the Company ("EGM") to be held at the officesof Sprecher Grier Halberstam LLP, 30 Farringdon Street, London EC4A 4HJ onThursday 17 January 2008 at 11.00 am. The special business to be proposed at the Extraordinary General Meeting is: (a) to effect a 1 for 5 consolidation of the Company's existing ordinary shares; (b) to amend the Company's Articles of Association; and (c) the renewal by the Board of its authority to allot relevant securities to provide the Company with sufficient capacity to allot further shares over the relevant period. Norseman also confirms that the Company's Report and Accounts for the year ended30 June 2007 have also been sent to shareholders today. BACKGROUND TO AND REASONS FOR THE PROPOSED SHARE CONSOLIDATION The Board considers that it is desirable to consolidate the existing ordinaryshares of the Company ("Existing Ordinary Shares") as this should assist inreducing the volatility in the Company's share price, enabling a more consistentvaluation of the Company. With shares of low denominations and the levels oftrading, small absolute movements in the share price can represent largepercentage movements resulting in volatility. The Board also believes that thebid-offer spread on shares priced at low absolute levels can be disproportionateto the share price, to the detriment of Shareholders. DETAILS OF THE PROPOSED SHARE CONSOLIDATION Upon implementation of the Share Consolidation, Shareholders on the register ofmembers of the Company at the close of business on the record date, which isexpected to be 17 January 2008, will exchange 5 Existing Ordinary Shares for 1New Ordinary Share and so on in proportion for any other number of ExistingOrdinary Shares then held. The proportion of the issued ordinary share capitalof the Company held by each Shareholder following the Share Consolidation will,save for fractional entitlements, be unchanged. Apart from the change in nominal value, the New Ordinary Shares arising onimplementation of the Share Consolidation will have the same rights as theExisting Ordinary Shares, including voting, dividend and other rights. admission to aim The Share Consolidation is conditional upon the New Ordinary Shares beingadmitted to AIM. Application for such Admission will be made so as to enablethe New Ordinary Shares to be admitted to trading on AIM as soon as practicablefollowing the Record Date. It is expected that Admission will become effectiveat 8.00 am on 18 January 2008, whereupon the Share Consolidation will beeffective. For further information please contact: David Steinepreis Norseman Gold plc 07913 402727Romil Patel Blue Oar Securities Plc 020 7448 4400Guy Wilkes Ocean Equities Ltd 020 7786 4370Hugo de Salis St Brides Media & Finance Ltd 020 7242 4477 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Norseman Gold