Midas Gold Completes Share Consolidation in Connection with Nasdaq Listing Application

Published on January 27, 2021

January 27, 2021

“We are excited to announce the completion of our share consolidation today in connection with our application to list on the Nasdaq. We believe the Nasdaq listing will enable us to attract a broader range of shareholders, gain increased liquidity and deliver long-term value to investors.” -Laurel Sayer, CEO of Midas Gold Corp. 

Midas Gold Corp. announced that the Company has consolidated its common shares on the basis of one (1) new post-consolidation common share for every ten (10) pre-consolidation common shares effective as of January 27, 2021 (the “Effective Date”) in connection with the Company’s previously announced application to list its common shares on the Nasdaq Stock Market.  The share consolidation was necessary to meet the minimum share price requirements for trading on the Nasdaq.

You can read the full press release here.

The Company’s common shares will continue to be traded on the TSX under the stock symbol “MAX” after the Effective Date. The common shares are scheduled to begin trading on a post-consolidation basis on or about January 29, 2021 under the new CUSIP/ISIN numbers 59562B507/CA59562B5071. A letter of transmittal will be mailed to all registered shareholders with instructions on how to exchange their existing share certificates for new share certificates. A copy of the letter of transmittal is also available on the Company’s profile on SEDAR and has also been posted on the Company’s website. Shareholders who hold their common shares through a securities broker, dealer, bank or other financial institution are not required to take any action with respect to the consolidation and should contact that intermediary for their post-consolidation positions.

For a period of 20 days following the completion of the Effective Date, the Company’s trading symbol on the OTCQX will temporarily be changed to MDRPD, following which it will automatically revert to MDRPF.

Following the consolidation, the Company has a total of 47,522,706 common shares issued and outstanding. The exercise price or conversion price, as applicable, of the Company’s common shares issuable pursuant to outstanding stock options, warrants and convertible notes will be proportionately adjusted. No fractional common shares will be issued; all fraction shares equal to or greater than one-half resulting from the consolidation will be rounded to the next whole number. Otherwise, such fractional share will be cancelled.

If you have any questions, please do not hesitate to reach out at [email protected]

FREQUENTLY ASKED QUESTIONS

Why did Midas Gold consolidate its common shares?

We have long wanted to list our common shares in the U.S. and recently started the application process to list our shares on the Nasdaq Stock Exchange. Doing so is a means of attracting a broader range of shareholders, gaining increased liquidity, and delivering long-term value to investors.

To qualify for a Nasdaq listing, Midas Gold must satisfy a minimum share price requirement.

Consolidating our shares on a 10 to 1 basis, reduces the total number of shares but allows each share to change in value by the same ratio before trading begins.

This decision was made in connection with the Company’s focus and commitments which are anchored in Idaho.   See here for the previous announcement.

What does this mean for Midas shareholders?

The important thing to know is that your proportional ownership of the company has not changed. Each shareholder will receive one post-consolidation share for every ten pre-consolidation shares you held. So, while the total number of shares will decrease by 10 times, the proportionate ownership interest remains the same for all shareholders.

How can shareholders exchange their pre-consolidation shares for post-consolidation shares?

The common shares are scheduled to begin trading on a post-consolidation basis on or about January 29, 2021.

Non-registered shareholders (typically individuals who have purchased shares through a securities broker, dealer, bank or other financial institutions), are not required to take any action. However, a point of contact at any of these entities will be able to confirm the post-consolidation shareholdings.

Registered shareholders will receive a letter of transmittal with instructions on how to exchange their shares. This letter is also available here on SEDAR (LINK).

Should you have additional questions, please do not hesitate to contact us at [email protected]. You can also keep up to date by visiting www.midasgoldcorp.com.

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