Globex Receives Interim Order For Spin-Out Of Chibougamau Independent Mines

9/19/2012 2:59 PM ET

Globex Mining Enterprises Inc. (GMX.TO: Quote) said Wednesday that it has obtained an Interim Order from the Québec Superior Court for the "spin-out" of the shares of its wholly-owned subsidiary Chibougamau Independent Mines Inc. to Globex's shareholders.

Globex has called a special meeting of shareholders to be held in Toronto on October 19, pursuant to the Interim Order.

The company noted that at the special meeting, the shareholders of Globex will be asked to consider a special resolution approving a proposed Arrangement involving Globex and CIM.

Upon completion of the Arrangement Agreement, Globex will transfer the interest of Globex in ten mineral resource properties known as the "Chibougamau Mining Camp" in the Chibougamau region of Québec to CIM, subject to a 3 percent "gross metal royalty" in favour of Globex, together with cash and certain securities held by Globex.

Globex shareholders will receive one common share of CIM for each common share of Globex held on the effective date of the Arrangement.

Completion of the Arrangement is subject to the affirmative vote of not less than two-thirds of the votes cast by Globex shareholders in person or by proxy at the special meeting, approval by the Québec Superior Court, receipt by Globex of an advance income tax ruling on the "butterfly" reorganization from Canada Revenue Agency which confirms that the Arrangement may be completed on a tax-neutral basis for Globex and the Shareholders, receipt of all other regulatory consents and approvals required in connection with the Arrangement and conditional listing of CIM on the TSX Venture Exchange.