Takara, Garson Enter Into Strategic Alliance, With Share and Property Swap

Takara Resources, Inc. and Garson Gold Corp. have put together a strategic alliance, cemented by Takara taking 10 million shares of Garson in exchange for Takara's interest in five B.C. gold properties. The news release contains the details of this new arrangement, and notes that Takara plans to distribute the Garson shares to its own shareholders.

Takara has not traded so far today; its bid - ask is 3 cents - 4 cents. It last closed yesterday at 3.5 cents. Garson's last trade was at 5.5 cents, leaving it unchanged since yesterday; its bid - ask is 5 - 5.5.

Takara's Google Finance web page is here, and Garson's is here.

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NOTE: This blog is confined to aggregating news relating to Canadian gold stocks, as well as to commenting on past and present price movements, and is intended as an informational resource. It is not intended to make recommendations, nor is it a tool for forecasting future price movements. Its author is not a qualified investment advisor, and as such cannot make any investment recommendations. Should you be interested in any stock that appears here, please consider carefully if it is suitable for you and your portfolio. Please also consider seeking advice from a professional investment advisor if you have not already done so.

Garson Gold Adopts Takeover Defense

Garson Gold, Inc. announced that it has adopted a shareholder-rights provision, "similar to those of other Canadian public companies." Under its operation, any takeover bid that does not fall into the category of a "Permitted Bid" may trigger the separation of rights from the shares held on the close of business on March 9th. A "takeover bid," a term unused in the news release, means the acquisition of 20% or more of Garson shares. The rights separate at the option of the Board of Directors, once the 20% threshold is crossed; the Board can permit the exercise price of the rights to be a discount from market value. The announcement notes that there are fairness tests to be used when determining whether or not a bid is to be Permitted, and that this takeover-defense plan was not adopted because of takeover fears.

This item was released after the market closed, so it has not had an effect on the stock. Garson did not trade at all today.

Garson Gold Ltd.'s Google Finance web page is here.

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NOTE: This blog is confined to aggregating news relating to Canadian gold stocks, as well as to commenting on past and present price movements, and is intended as an informational resource. It is not intended to make recommendations, nor is it a tool for forecasting future price movements. Its author is not a qualified investment advisor, and as such cannot make any investment recommendations. Should you be interested in any stock that appears here, please consider carefully if it is suitable for you and your portfolio. Please also consider seeking advice from a professional investment advisor if you have not already done so.