The spin out of Metalicity’s (ASX: MCT) massive Admiral Bay zinc project into a Canadian-listed vehicle is ramping up, with a president and chief executive officer appointed to head up the new entity, which will IPO on the Toronto Venture Exchange (TSXV).
Vancouver-based Kimberley Mining, which will own Admiral Bay, has appointed capital markets specialist Tom Panoulias to lead the company through its $C30 million IPO and is targeting the September quarter for the TSXV debut.
Panoulias has more than 15 years’ experience in capital markets having previously worked at Echelon Wealth Partners, Fraser Mackenzie, and Dundee Capital Markets, raising over C$1 billion for companies in the mining sector and advising senior management teams on numerous merger and acquisition transactions and advisory services.
Kimberley Mining prepares for TSXV
The appointment comes as Metalicity begins preparing Kimberley Mining for its TSXV listing.
The Admiral Bay spin-out is likely to benefit Metalicity shareholders as the company believes it is undervalued on the ASX with enterprise value per tonne (EV/T) of a peer group of base metals assets and companies (with ownership of Admiral Bay’s scale) listed on the TSX-V much higher than the ASX.
“The very strong market interest and now engagement of leading North American mining investment firms, appointment of a highly credible board and endorsement of project stakeholders, will best allow the progression of Admiral Bay in a market of higher valuations for base metals projects of Admiral Bay’s scale,” Metalicity managing director Matt Gauci said.
The Kimberley Mining board already has a wealth of mining and capital markets experience with recent key appointments of Justin Reid and Paul Pint as non-executive chairman and non-executive director, respectively.
Mr Reid is a geologist and capital markets executive with more than 20 years’ experience in the mineral resource space, while Mr Pint is a capital markets professional with over 25 years of experience.
Leading North American investment firms Haywood Securities Inc and Echelon Wealth Partners have also been engaged as co-lead managers for the TSXV listing.
Admiral Bay will be vended into Kimberley Mining at a targeted valuation of A$30 million cash and shares after corporate structuring and shareholder approval.
Kimberley Mining is targeting a C$30M capital raising upon listing on the TSXV to progress Admiral Bay through a pre-feasibility study.
Admiral Bay hosts one of the world’s largest zinc deposits in development with a current JORC/NI-43101 mineral resource of 170 million tonnes at 7.5% zinc equivalent.
Shares in Metalicity were trading at A$0.029 in mid-afternoon.