Vancouver, British Columbia / ACCESSWIRE / June 11, 2014 / Aston Bay Holdings Ltd. (TSX-V: BAY) ("Aston Bay" or the "Company") is pleased to announce that further to its news release of April 24, 2014, the Company has amended the Memorandum of Understanding ("MOU") with Lyncorp International Ltd. ("Lyncorp"), a company wholly-owned by David Mullen, to purchase equipment including four Christensen CS10 Core Drills and all associated equipment (the "Equipment").
Aston Bay and Lyncorp have agreed to modify the payment terms, such that the Company will pay $300,000 in cash by July 10, 2014; $325,000 in cash by August 10, 2014; and $375,000 in cash or stock (valued on the previous 10-day weighted average prior to the date of payment), which is to be made by July 10, 2015. The amended payment terms allow for less effective dilution of the Company's stock, which is currently trading higher than on the date of the original MOU.
The closing of the transaction will now take place after the end of the period of exclusivity between the Company and a major mining company, as previously announced on May 26, 2014.
The amended MOU will be superseded by a definitive agreement that will be entered into by Aston Bay and Lyncorp, and will be subject to receipt of TSX Venture Exchange approval. Closing of the acquisition is also subject to, among other things, receipt of an appraisal for the Equipment and confirmation that title to the Equipment is in good standing. A submission for TSX Venture Exchange approval for the acquisition of the Equipment will be made following the execution of a definitive agreement and the completion of an appraisal, as noted above.
In addition, Aston Bay has retained the services of Renmark Financial Communications Inc. ("Renmark") to handle its investor relations activities.
Renmark was founded in 1999 by Henri Perron and has a head office located in Montreal, Quebec. Renmark is a full service investor relations firm representing public companies trading on all major North American exchanges with a team of approximately 40 investor relations professionals.
Renmark will provide to the Company investor relations services such as roadshow management, organization of events and distribution of corporate information, and will also provide to the Company research and feedback regarding market activity. Renmark does not have any interest, directly or indirectly, in Aston Bay or its securities, or any right or intent to acquire such an interest.
"We are pleased to be working with Renmark to reinforce Aston Bay's profile in the financial community and enhance the visibility of our project portfolio. We chose Renmark because its standards and methodologies fit best with the message we wish to communicate to the investing public," noted Benjamin Cox, Chief Executive Officer of Aston Bay.
The Company will pay to Renmark a monthly retainer of $4,000USD starting June 11, 2014 for the first six months, and $6,000USD for every month thereafter. The term of the agreement with Renmark is on a month-to-month basis, and the agreement can be terminated by either party by giving 10 days' written notice to the other party.
About Aston Bay Holdings
Aston Bay Holdings Ltd. (TSX-V: BAY) is a publicly traded mineral exploration company focused on the 345,033 acre Storm Property located on northwest Somerset Island, Nunavut. The property hosts the Storm Copper and Seal Zinc prospects. Aston Bay holds the right to earn or buy up to a 100% undivided interest in the Storm Property from Commander Resources Ltd. (TSX-V: CMD).
On behalf of the Board of Directors,
Benjamin Cox, Chief Executive Officer
Telephone: (360) 262-6969
For further information about Aston Bay Holdings Ltd or this news release, please visit our website at www.astonbayholdings.com.
Neither the TSX Venture Exchange Inc. nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain statements that may be deemed "forward-looking statements". Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by law, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.
SOURCE: Aston Bay Holdings Ltd.