Mawson Gold Proposes Merger with Southern Cross and Dual Listing

Mawson Gold Limited has announced a non-binding term sheet with Southern Cross Gold Limited, aiming for an acquisition through an Australian scheme of arrangement. This merger will consolidate Mawson's and Southern Cross's corporate structures, aiming to reduce costs and simplify management. The newly formed entity, Southern Cross Gold Ltd, will maintain its listing on the TSX Venture Exchange and seek a dual listing on the Australian Securities Exchange.

The merger will allow both entities access to broader capital markets, aiming to lower the cost of equity capital. The current Australian board and management team of Southern Cross will lead the new company. Also, Mawson plans to spin off its Swedish uranium assets before the merger finalizes.

The deal involves key points such as a share consolidation of Mawson shares, acquisition of all Southern Cross shares not owned by Mawson, and reconstitution of the board. Shareholders from both companies will vote on specific aspects of the arrangement, expected to complete in three to four months, with minimal interruption in trading.