VANCOUVER, British Columbia, June 17, 2021 (GLOBE NEWSWIRE) – Alpha Lithium Corporation (TSX.V: ALLI) (OTC: ALLIF) (Frankfurt: 2P62) (“Alpha” or the “Company”), is pleased to announce that it has entered into an arrangement agreement with its wholly-owned subsidiaries, Voltaic Minerals (USA), Inc. (“Voltaic”) and Beta Energy Corp. (“Beta”) to undertake a spin-out transaction that would reorganize the business and capital structure of the Company to spinout its Green Energy Project located in Grand County, Utah (the “Green Energy Project”).
The proposed spin-out transaction will be completed by way of a Plan of Arrangement to be completed under the Business Corporations Act (British Columbia) (the “Proposed Arrangement”).
Pursuant to the Proposed Arrangement, Alpha will transfer to Beta, a wholly-owned subsidiary of Alpha incorporated for the purposes of the Spin-out Transaction: (i) all of the Company’s legal and beneficial interests in the Green Energy Project, including all of the shares of Voltaic; and (ii) $5.0 million, in exchange for common shares of Beta (“Beta Shares”).
It is intended that, as part of the reorganization, the Company’s current shareholders will receive shares of Beta in proportion to their shareholdings in Alpha on the basis of 0.1 of a Beta Share for each common share of Alpha held.
The Proposed Arrangement remains conditional on the approval of the shareholders of Alpha and the approval of the TSX Venture Exchange and Supreme Court of British Columbia, among other things.
ON BEHALF OF THE BOARD OF ALPHA LITHIUM CORPORATION
President, CEO and Director
For more information:
Alpha Lithium Investor Relations
Tel: +1 844 592 6337
About Alpha Lithium (TSX.V: ALLI) (OTC: ALLIF) (Frankfurt: 2P62)
Alpha Lithium is a growing team of industry professionals and experienced stakeholders focused on the development of the Tolillar and Hombre Muerto Salars. In Tolillar, we have assembled 100% ownership of what may be one of Argentina’s last undeveloped lithium salars, encompassing 27,500 hectares (67,954 acres), neighboring multi-billion-dollar lithium players in the heart of the renowned “Lithium Triangle”. In Hombre Muerto, we are expanding our foothold in one of the world’s highest quality, longest producing lithium salars. Other companies in the area exploring for lithium brines or currently in production include Orocobre Limited, Galaxy Lithium, Livent Corporation, and POSCO in Salar del Hombre Muerto; Orocobre in Salar Olaroz; Eramine SudAmerica S.A. in Salar de Centenario; and Gangfeng and Lithium Americas in Salar de Cauchari. Find out more at: https://alphalithium.com/.
This news release contains forward-looking statements and other statements that are not historical facts. Forward-looking statements are often identified by terms such as “will”, “may”, “should”, “anticipates”, “expects” and similar expressions. All statements other than statements of historical fact, included in this news release are forward-looking statements that involve risks and uncertainties, including statements with respect to the Proposed Arrangement and the expected structure thereof; anticipated shareholder, court and regulatory approvals. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company’s expectations include potential delays in obtaining all requisite approvals.and other risks detailed from time to time in the filings made by the Company with securities regulators. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. The reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release and the Company will update or revise publicly any of the included forward-looking statements as expressly required by applicable law.
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