|2014-03-03 16:47 ET - News Release|
Mr. Jari Paakki reports
ANGLO SWISS SIGNS AGREEMENT TO SELL KENVILLE FOR $5.9M
Anglo Swiss Resources Inc. has entered into a binding letter agreement dated March 3, 2014, to sell its Kenville gold property, located in southeastern British Columbia, to 0995237 B.C. Ltd., a private B.C.-based company. The closing date of this arm's-length transaction shall not be later than 60 days following the date of the execution of the letter agreement.
Total consideration for the purchase of the property is $5.9-million, which shall be satisfied by the delivery to Anglo Swiss of a $100,000 non-refundable deposit within seven days of execution of this letter agreement, a payment of $800,000 on or before 60 days following the execution of this letter agreement and five payments totalling $5-million, with annual payments of $1-million starting on or before the third anniversary following the closing date.
Jari Paakki, chief executive officer, commented: "Completion of this transaction will provide the company with important short-term cash in one of the most stagnant junior mining markets in recent history. It allows us to move forward with our rebranding initiatives that we believe will greatly improve the company's future ability to grow and increase shareholder value, and also provides future cash to sustain working capital, minimizing long-term financings and share dilution."
Completion of the transaction is subject to a number of conditions, including, but not limited to, confirmatory due diligence, the receipt of all required regulatory approvals, including the approval of the TSX Venture Exchange, and approval of the shareholders of Anglo Swiss.
Additional information regarding this proposed transaction will be provided in the management information circular that will be mailed to registered shareholders and filed on SEDAR.
We seek Safe Harbor.