Oct 30 2010
AuEx Ventures, Inc. (TSX:XAU) has announced that an overwhelming majority of AuEx shareholders who voted today at AuEx's Annual and Special Meeting of Shareholders have voted to approve the plan of arrangement pursuant to which Fronteer Gold Inc. (TSX:FRG)(NYSE Amex:FRG) will acquire all the issued and outstanding common shares of AuEx.
Over 99.95% of the securities voted at the Meeting were voted in favor of the special resolution approving the Arrangement.
Under the Arrangement, AuEx shareholders will receive 0.645 of a Fronteer Gold common share, Cdn$0.66 in cash, and 0.5 of a share in Renaissance Gold, Inc. ("RenGold"), a new exploration company, for each AuEx share held. RenGold will hold all of AuEx's exploration assets outside of the Pequop District and have approximately Cdn$5.0 million in cash. On completion of the Arrangement, AuEx shareholders will hold 18.6% of pro forma outstanding shares of Fronteer Gold, on a fully-diluted basis and 90.1% of the RenGold shares, while Fronteer Gold will hold the remaining 9.9% of the RenGold shares.
The TSX Venture Exchange has conditionally approved the listing of the RenGold shares on a date to be determined following completion of the Arrangement.
AuEx's application to the Supreme Court of British Columbia to obtain the final court order approving the Arrangement is scheduled for Monday, November 1, 2010. Assuming court approval is obtained and that all other conditions to the Arrangement are satisfied or waived, the Arrangement is expected to become effective on or about November 3, 2010.