China Natural Resources Announces 5-to-1 Share Combination
China Natural Resources (NASDAQ: CHNR) announced a 5-for-1 share combination effective April 3, 2023, to increase its share price to meet the $1.00 minimum bid price requirement for continued Nasdaq listing. All shares will be automatically converted, with fractional shares rounded up. This adjustment will not change shareholders' overall interest in the company. The company currently has approximately 8,189,617 shares outstanding following the combination. CHNR is also pursuing the acquisition of Williams Minerals, a lithium mine in Zimbabwe, for up to $1.75 billion, expected to close in Q2 2023.
- 5-for-1 share combination intended to increase share price for Nasdaq compliance.
- Expected acquisition of Williams Minerals for a maximum of $1.75 billion, enhancing growth potential.
- Ongoing reliance on significant acquisitions to drive future growth introduces risk.
- Uncertainties regarding the ability to meet Nasdaq's $1.00 minimum bid price requirement post-share combination.
HONG KONG, March 31, 2023 /PRNewswire/ -- China Natural Resources, Inc. (NASDAQ: CHNR), a British Virgin Islands ("BVI") company (the "Company") today announced that the board of directors of the Company has approved a five-to-one share combination of issued and outstanding common shares, without par value, of the Company. No shareholders' approval of the share combination is required pursuant to BVI law. The share combination is expected to be effective at the market opening on April 3, 2023, at which time the Company's common shares will begin trading on the Nasdaq Capital Market on a combination-adjusted basis. The Company's common shares will continue to trade under the symbol "CHNR" but with a new CUSIP number, G2110U117.
Upon the effectiveness of the share combination, every five issued and outstanding common shares will automatically be converted into one issued and outstanding common share. No fractional shares will be issued as a result of the share combination. Instead, any fractional shares that would have resulted from the combination will be rounded up to the next whole share. The share combination affects all shareholders uniformly and will not alter any shareholder's percentage interest in the Company's outstanding common shares, except for adjustments that may result from the treatment of fractional shares. All outstanding options, warrants and other rights to purchase the Company's common shares will be adjusted proportionately as a result of the share combination.
The share combination is intended to increase the per share trading price of the Company's common shares to satisfy the
About China Natural Resources:
China Natural Resources, Inc. (NASDAQ: CHNR), a British Virgin Islands corporation, through its operating subsidiaries in the People's Republic of China (the "PRC"), is currently engaged in the wastewater treatment industry in the PRC and the acquisition and exploitation of mining rights in Inner Mongolia, including preliminary exploration for nickel, lead, silver and other nonferrous metal, and is actively exploring further business opportunities in the healthcare sector, natural resources sector and other sectors. China Natural Resources recently agreed to acquire Williams Minerals, which operates a lithium mine in Zimbabwe, for a maximum consideration of
Forward-Looking Statements:
This press release includes forward-looking statements within the meaning of the U.S. federal securities laws. Any express or implied statements contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements, including, without limitation, statements regarding the intent, belief and current expectations of the Company, its directors or its officers with respect to the ability to locate and execute on strategic opportunities; the impact of the rising commodity prices; the potential presence of minerals in the Zimbabwean lithium mine; the potential closing of the acquisition of Williams Minerals; the vesting of ownership of the regions of the Zimbabwean mine and the timing thereof; the level of demand for lithium and other precious minerals; the availability of internally generated funds and funds for the payment of operating expenses, capital expenditures and the Company's growth strategy; and the ability of the Company to remain listed on the Nasdaq Capital Market. Forward-looking statements are not a guarantee of future performance and involve risks and uncertainties, and actual results may differ materially from those in the forward-looking statements as a result of various factors. Among the risks and uncertainties that could cause the Company's actual results to differ from its forward-looking statements are: uncertainties regarding the governmental, economic and political circumstances in the PRC and the United States; the impact on the Company's financial position, growth potential and business from an investment in the natural resources sector generally and in the Zimbabwean lithium mine; uncertainties related to the Company's ability to identify potential partners or acquisition targets as it considers strategic alternatives; uncertainties related to the Company's ability to settle in cash the consideration due in connection with the acquisition of Williams Minerals; uncertainties associated with metal price volatility; uncertainties concerning the viability of mining and estimates of reserves at the Zimbabwean lithium mine; uncertainties associated with the issuance of and accuracy of the independent technical reports; possible downturns in the sectors that the Company may invest in; uncertainties relating to the Company's ability to maintain compliance with the
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SOURCE China Natural Resources, Inc.
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