Azure Minerals Limited (ASX: AZS) (Azure or the Company) wishes to announce that the Board proposes to seek shareholder approval for a consolidation of the issued capital of the Company through the conversion of every twenty (20) existing shares into one (1) share (Consolidation).
Under section 254H of the Corporations Act, a company may consolidate its shares if the consolidation is approved by an ordinary resolution of shareholders at a general meeting. The Company will soon dispatch a Notice of Annual General Meeting to shareholders of the Company which will include a resolution seeking this approval.
The Board considers that the consolidation of its share capital is important and necessary as it
continues to progress its mineral projects. The Company has a large number of shares on issue due to historical equity-based capital raisings that have provided the working capital to explore and develop the Company’s projects. The Company believes the consolidation will provide the best platform for continued growth, a capital structure that is more in line with the Company’s size and a share price level that is more attractive to institutional investors, particularly those based in North America who have traditionally been strong supporters of Azure.