Broadway Gold Mining Ltd. Provides Update to Proposed Arrangement With Mind Medicine, Inc.
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VANCOUVER, British Columbia, Jan. 24, 2020 (GLOBE NEWSWIRE) -- Broadway Gold Mining Ltd. (“Broadway” or the “Company”) (TSXV:BRD) (OTC:BDWYF) is pleased to provide an update on its reverse takeover transaction (“RTO”) by the current shareholders of Mind Medicine, Inc. (“MindMed”) by way of plan of arrangement (the “Arrangement”) as announced on July 26, 2019 and October 15, 2019. Effective January 23, 2020 Broadway and MindMed have executed an amendment (the “Amendment”) to the definitive arrangement agreement (the “Arrangement Agreement”) to extend the closing date of the Arrangement from no later than January 31, 2020 to no later than March 31, 2020. All other terms of the Arrangement Agreement remain in full force and effect and unamended.
On December 19, 2019, MindMed completed the first tranche of its previously announced brokered private placement financing of Class D non-voting shares (the “Shares”) of MindMed at a price of CAD$0.33 per share (the “Brokered Private Placement”) for gross proceeds of $6,194,726. MindMed anticipates closing a second tranche of the Brokered Private Placement on or about February 11, 2020 raising an aggregate of up to CAD$15 million. There can be no assurances that MindMed will elect to close the second tranche.
In connection with the proposed RTO, Broadway is pleased to announce that it obtained an interim order from the Supreme Court of British Columbia on January 20, 2020 (the “Interim Order”). The Interim Order provides for, among other things, the holding of an annual and special meeting (the "Meeting") of the holders of common shares of Broadway (the "Shareholders") to approve the Arrangement under the Business Corporations Act (British Columbia). The Meeting is scheduled to be held at the offices of Wildeboer Dellelce LLP, Suite 800, Wildeboer Dellelce Place, 365 Bay St., Toronto, Ontario M5H 2V1 on Wednesday, February 19, 2020 at 10:00 a.m. (Toronto time). The record date for determining Shareholders entitled to receive notice of and vote at the Meeting was fixed at the close of business on January 14, 2020.