Element 79 Gold Corp Announces Effective Date of Share Consolidation
Element 79 Gold Corp (E79) has announced the effective date of its share consolidation, the complex process in which a company consolidates its shares. Under this process, a company reduces the number of outstanding shares of its stock while also increasing the price of its stock. The move will see Element 79’s share price increase from its recent levels of $0.03 to $0.30, a full ten times higher.
The consolidation seeks to reduce volatility and increase liquidity for shareholders due to the higher trading frequency of Element 79 stock. For investors, the higher stock price will also mean potential for greater gains due to increases in the share price.
Element 79 is a mineral exploration and development company focused on the further development of its assets located in the Yukon. The company’s portfolio includes two fully-permitted gold mining projects, which it acquired from Roughrider Exploration Limited in October 2018.
The miners at Element 79 have consistently returned good results and the company had a strong first quarter in 2020. Recently, it also revealed positive results from further drilling and exploration activities on the White Gold property. The results were echoed at the Golden Saddle property, with high-grade gold intersections being discovered. With these project results, the company is positioning itself to be at the forefront of the Yukon gold rush.
The effective date of the consolidation, which was stated in the company’s June 18th press release, is expected to be on the 17th of August, 2020. On this date, the consolidation of E79’s won subordinated voting shares will take effect and upon the completion of the consolidation, there will be 135,000,000 such shares outstanding of the Company.
Shareholders that are affected by the consolidation will receive a statement on the effectiveness of the consolidation from the company.
In conclusion, it is quite evident that the share consolidation of Element 79 Gold Corp is a great move towards increased liquidity and potential gains in the stock price. With a great portfolio of mineral projects in the Yukon and recent performance results hinting at more positive activity, the company is well-positioned to benefit from the consolidation. Investors should be sure to keep an eye out for future updates from Element 79 Gold Corp.