logo-loader
viewExplorex Resources Inc.

Explorex Resources to acquire Asian financial services company in major strategic shift for mineral explorer

The Vancouver-based company is acquiring Singapore’s Raffles Financial Private Limited, a diversified financial services company

handshake
The revamped company will have offices in Sydney, Beijing and Hong Kong in addition to its Singapore headquarters

Canadian junior Explorex Resources Inc (CSE:EX) (OTCMKTS:EXPXF) is heading into the holidays with a new look thanks to a strategic acquisition announced Monday afternoon.

The Vancouver-based company is acquiring Singapore’s Raffles Financial Private Limited, a diversified financial services company that provides advisory related to IPOs, investment management and counseling to high net worth individuals and families.

The acquisition represents a new direction for Explorex, which up until now has operated as a mineral exploration company.

READ: Explorex Resources makes key acquisition of historic Bonanza Mountain gold-copper project in British Columbia

Pending a name change to Raffles Financial Group and a corporate move from British Columbia to the Cayman Islands, Explorex said that it plans to spin out its mineral assets into a wholly owned subsidiary with the proposed name of EXCO Resource Inc. The subsidiary will apply to list on the Canadian Securities Exchange, according to a statement.

As for Raffles Financial, the revamped company will have offices in Sydney, Beijing and Hong Kong in addition to its Singapore headquarters.

Reverse takeover

The reverse takeover will come into effect after Explorex completes the spinout of its mineral assets. The company will consolidate its outstanding shares on a 23.78:1 basis, or such other number of pre-consolidation Explorex shares so that the consolidation results in 1,050,000 post-consolidation shares outstanding immediately before closing. Raffles’ existing shareholders will then be issued 45 million post-consolidation shares.

The financing is expected to result in 4 million post-consolidation shares being issued so that post-financing, a total of just over 50 million shares will be outstanding. Raffles’ shareholders will hold 89.9% of outstanding shares.

Completion is subject to a C$20 million financing, shareholder approval of the fundamental change and regulatory approval.

Explorex and Raffles Financial expect the transaction to close by March 16, 2020.

Key assets

The junior mining company is focused on the acquisition of projects hosting elements critical to the efficiency of rechargeable batteries. With cobalt as its main focus, the company has prioritized projects in Finland and several Canadian jurisdictions with historic production.

Shares of Explorex closed at C$0.18 on Monday afternoon.

Contact Angela at [email protected]

Follow her on Twitter @AHarmantas

Quick facts: Explorex Resources Inc.

Price: 0.18 CAD

CSE:EX
Market: CSE
Market Cap: $4.43 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Explorex Resources Inc. named herein, including the promotion by the Company of Explorex Resources Inc. in any Content on the Site, the Company...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Full interview: Arizona Silver Exploration buys out claims saving hundreds...

Arizona Silver Exploration (CVE: AZS) President and CEO Mike Stark sat down with Steve Darling from Proactive Vancouver to bring news the Arizona Silver has bought out the remaining claims on their Philadelphia project. That move wills ave the company half a million dollars going...

2 days, 21 hours ago

2 min read