West Perth-based gold and base metals exploration company Central Asia Resources Ltd will increase its shareholding in Golden Eagle Resources from 60% to 100%, subject to shareholder approval.
The announcement is pasted below:
Central Asia Resources Ltd will acquire, subject to shareholder approval, 100% of Golden Eagle Investment Resources Ltd which holds the Company's interest in its gold prospects in Kazakhstan.
The acquisition by Central Asia of the 40% of Golden Eagle currently held by Mr Reiser will simplify the corporate structure, management and future financing.
Mr Reiser will be issued approximately 37 million Central Asia shares (36% of the shares on issue post the transaction).
The exact number of shares to be issued will be calculated based on the value of Golden Eagle as a proportion of Central Asia's net assets at 31 March 2008.
The shares issued will be subject to a 12 month escrow period.
Central Asia CEO Jason Stirbinskis said "The deal was a big vote of confidence in the company by its major partner and represented a significant step forward in the Company's evolution".
