/THIS NEWS RELEASE AND THE INFORMATION CONTAINED HEREIN ARE NOT FOR
DISTRIBUTION IN THE UNITED STATES/
VANCOUVER, June 29 /CNW/ - EurOmax Resources Ltd. (EOX: TSX-V) and Silk
Road Resources Ltd. (SIL: TSX-V) are pleased to announce that the previously
announced business combination by way of plan of arrangement (the
"Arrangement") was completed effective as of June 29, 2009. Silk Road's shares
will be delisted effective as of June 30, 2009. The Arrangement was approved
by 99.7% of the votes cast by shareholders of EurOmax and 100% of the votes
cast by shareholders of Silk Road at their shareholder meetings held on June
25, 2009 and approved by the Supreme Court of British Columbia on June 26,
2009.
Combined Company Highlights
EurOmax Resources, now that it has completed the business combination with
Silk Road, has the following attributes:
- The benefits of EurOmax's exploration projects which it anticipates
advancing with the proceeds of the sale of Silk Road's Bulagou
property when they are received.
- A broader share trading market with the potential for greater
liquidity.
- Greater financing and acquisition opportunities in the mining
industry.
- Removal of duplication of public company costs.
- An experienced management team with complementary skills in
exploration, business and project development.
Transaction Summary
EurOmax acquired all of the issued and outstanding shares of Silk Road in
the Arrangement. Pursuant to the terms of the Arrangement, holders of Silk
Road shares are now entitled to receive 2.2535 EurOmax shares for every Silk
Road share held. The outstanding options and warrants of Silk Road are deemed
to be exchanged for EurOmax options and warrants, adjusted on the basis of the
aforementioned exchange ratio, on the same terms and conditions as the
original options and warrants. Also, by the terms of the Arrangement, Silk
Road and 7167911 Canada Ltd., a wholly-owned subsidiary of EurOmax, have been
amalgamated under the name "7167911 Canada Ltd." and the amalgamated company
is a wholly-owned subsidiary of EurOmax. Additional information on the
business combination is available in the information circulars of EurOmax and
Silk Road, each dated May 26, 2009, available on SEDAR at www.sedar.com.
Exchange of Silk Road Shares for EurOmax Shares
Silk Road's shares will be delisted from the TSX Venture Exchange
effective as of June 30, 2009. To receive their EurOmax shares pursuant to the
Arrangement, Silk Road shareholders should surrender their Silk Road share
certificates to the depositary, together with a properly completed letter of
transmittal, to receive their EurOmax shares pursuant to the Arrangement. A
copy of the letter of transmittal was sent to Silk shareholders and is also
available at www.sedar.com.
Board and Management of EurOmax
As a result of the closing of the Arrangement, EurOmax now owns 100% of
Silk Road's shares and assets.