Canada-based Woodrose Corporation has entered into a binding letter agreement with Viking Energy Cadlao Holding (VECH) Limited and Viking Energy (SC-6 Cadlao) Limited (VEP). Under the terms of this agreement, dated December 9, 2013, Woodrose Corporation will acquire 100 per cent of all of the issued and outstanding shares of VEP. Also, it is anticipated that Woodrose will issue to shareholders of VEP, on the closing of the Transaction, 73,500,000 Woodrose Shares at a price of CDN$0.50 per Share. Prior to closing the transaction, Woodrose has agreed that it will consolidate all of the issued and outstanding 8,196,374 Woodrose shares into 3,800,000 shares.
The Transaction will constitute a “reverse-takeover” of Woodrose, in accordance with the policies of the TSX Venture Exchange, and the reactivation of Woodrose, which is currently an NEX-listed issuer.
In connection with the transaction, it is proposed that the Canadian company will redomiciliate from Alberta to the British Virgin Islands. Company shareholders will vote on the continuation of the company in BVI and the transaction at a special shareholders meeting which will be held in March 2014.
TSX-listed investment issuer Urban Select Capital Corporation has entered into an agreement with Oriental Sense Development Limited, a private BVI-incorporated company, pursuant to which Oriental Sense will acquire 12,500,000 common shares of the Canadian company for proceeds of US$1,000,000 and at a price of US$0.08 per share.
This is an arm’s length agreement, and the BVI corporation owns no securities of Urban Select. After the completion of the investment, Oriental Sense will own approximately 30.56 per cent of the issued and outstanding shares, and as a result will hold the control of the Canadian company.
Completion of the transaction is subject to the approval of the Exchange and majority of the Urban’s shareholders at the annual and special general meeting scheduled to be held on January 9, 2014.
MDM Engineering Group Limited, BVI-incorporated company focused on the mining industry, reported its interim financial results for the six month period ended 30 September 2013. The company reported strong cash position of UUS$32.0 million, as compared to US$20.1 million in the same period of 2012, and revenue of US$53.6 million (US$78.9 million in 2012). Basic earnings were US8.70 cents per share as compared to US 15.94 cents in the previous year.
In the first half of 2013, the gross profit margin of MDM was 19.9 per cent – 4.1 per cent lower than the gross profit margin for the full year ending 31 March 2013. BVI company reported profit before tax of US$5.0 million for the first half of financial year – a 38 per cent decrease from the comparable period’s profit of US$8.1 million.
In the reported period ended 30 September 2013, MDM continued the execution of four projects secured in the previous period: the Bulyanhulu gold project for ABG in Tanzania, the Namoya gold project for Banro in the Democratic Republic of the Congo, the Kalagadi Umtu manganese project for Kalahari Resources in the Republic of South Africa and the DSF phosphate project for Foskor in South Africa. All these projects are scheduled for completion in calendar year 2014.
MDM’s Chief Executive Officer, Mr. Martin Smith commented on the interim results of the company: “I am very pleased that MDM has produced solid results for the six months ended 30 September 2013 despite the industry suffering a difficult year. We have a high-quality order book continuing through from FY2013 into FY2014 with large projects in execution, contributing to revenue and associated profits. The flagship project for MDM in FY2014 is African Barrick Gold’s Bulyanhulu project in Tanzania which is due for completion in the first quarter 2014 calendar year.”