UPDATE: Golden Predator Up 9%, Off Day Highs On Huge Trade; Announces Name Change, Divestment
Golden Predator Corp. (GPD.TO) is now up 3 cents at 36 cents but off a day high 38.5 cents with more than 2 million shares traded as it announced that it is changing the company's name to Gold Bullion Royalty Corp, which will be focused entirely on royalty creation, intending to build on its existing portfolio of 34 projects to increase revenue and provide lower risk exposure to shareholders through a variety of gold and silver projects in which it will retain a royalty, metal stream or other interest. The company plans to divest Golden Predator Canada Corp. which will continue to advance the Brewery Creek Project as well as a number of other significant properties across the Yukon. It said: "This proposed segregation of its two main business components, by spin-out or other mechanism, is designed to maximize shareholder value by allowing the market to independently value two very different businesses."
It added: "This process is expected to occur by means of a plan of arrangement, dividend or other suitable method such that the shareholders as of the record date for the transaction will own both entities. The exact form and structure of this transaction will be determined following receipt of appropriate tax and legal advice. Management is confident that splitting these two business units into separate, independently staffed, entities will provide for increased efficiency, visibility, analysis and recognition of asset values which will ultimately provide superior returns for our shareholders."
Shares are up 4.5 cents to 37.5 cents mid-morning.
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