re: Ann: SRE: Monarch creditors accept Stirli...
status of the restructuring and recapitalisation of Monarch The proposed Recapitalisation Deed with Stirling Resources Limited (ACN 009 659 054) and Stirling Gold Pty Ltd (ACN 134 037 513) (collectively “Stirling”) was approved by the creditors of each of the companies in the Monarch Group at meetings held on 30 June 2009. The Recapitalisation Deed will see a cash injection of approximately $15M invested into the Monarch Group if shareholders approve the transaction. Stirling expects to be in a position to recommence operations at both the Mt Ida and Davyhurst operations within 12 months. Stirling has commissioned independent expert advice which indicates these operations will be profitable and cash flow positive at current gold prices. Deed Administrator’s Update to Shareholders Shareholder Approval It is anticipated a shareholders’ meeting will be convened in early to mid September 2009 to consider the proposed share restructure under the Recapitalisation Deed. Approval from shareholders is a pre-requisite to the completion of the deal. If the requisite approval is gained, it is anticipated settlement will occur in September 2009 and the Company will be re-listed on the ASX as soon as possible thereafter. Full information about the transaction will be forwarded to shareholders with a notice of meeting. Shareholders should expect to receive this information and the notice of meeting within the next 6 weeks
MON Price at posting:
29.5¢ Sentiment: Hold Disclosure: Held
