ROAD TOWN, Tortola, British Virgin Islands, Jan. 17 /CNW/ - Talon Metals
Corp. ("Talon" or the "Company") (TSX: TLO) today announces that the
board of directors of the Corporation has adopted a shareholder rights
plan effective January 17, 2011.
The rights plan aims to ensure that all shareholders are treated equally
and fairly in the event of a transaction that could lead to a change in
control of the Company. The Rights Plan also gives the board of
directors more time to assess any unsolicited bid that may be made for
Talon in the future and to explore and develop alternatives for
maximizing shareholder value. Talon has not received an unsolicited bid
and is not soliciting bids.
The rights plan is not intended to and will not prevent a take-over of
the Company. The purpose of the rights plan is to encourage a potential
bidder to make a "Permitted Bid", having terms and conditions designed
to meet the objectives of the rights plan, or to negotiate the terms of
an offer with the board of directors of the Company.
A Permitted Bid is a take-over bid that is made to all holders of voting
shares of the Company (other than the bidder) for all of the voting
shares held by them, by way of a take-over bid circular that remains
open for acceptance by shareholders for 60 days (or such shorter period
of time as may be approved by the board of directors of the Company)
and that satisfies certain other conditions.
The rights plan must be confirmed by shareholders within six months of
its effective date. Talon plans to seek shareholder approval at its
annual and special meeting of shareholders expected to be held in June
A complete copy of the rights plan is available upon request.
Shareholders wishing to receive a copy of the rights plan should make
their request by telephone at (416) 361-9636 x 243, by email at email@example.com or by mail to Tau Capital Corp., 110 Sheppard Avenue East, Suite 610,
Toronto, Ontario, Canada M2N 6Y8, Attention: Ms. Erica Belling. A copy
of the rights plan will be filed on SEDAR at www.sedar.com.
Talon is a TSX-listed company focused on the acquisition, exploration
and development of iron ore and other mineral resource projects. The
Company has a well-qualified exploration and management team with
extensive experience in exploration and project management.
Talon has a treasury of approximately CDN$8 million and holds 985,830
common shares in Brazilian Gold Corporation (TSXV:BGC) and 500,000
common shares in Lago Dourado Minerals Ltd. (TSXV:LDM). Talon also
holds 19 million shares in Tlou Energy Limited, and 26.6 million shares
in Rio Verde Minerals, both unlisted companies.
Talon has 74,709,275 common shares outstanding and 86,671,438 shares on a fully diluted
SOURCE Talon Metals Corp.
For further information:
For additional information on Talon please visit the Company's website at www.talonmetals.com or contact:
VP Investor Relations
Tau Capital Corp.
Tel: (416) 361-9636 x 243